well first of all you wanna get yourself a copy of fraps
FRAPS show fps, record video game movies, screen capture software
its in general the best software out there for what you want to do.
heres a few links on how to use fraps
one important thing to take note of is this - Why is the AVI movie generated by Fraps so big?
How can I reduce the size?
The filesize is big because there isn’t enough time to encode the movie while the game is running. The movie frames are slightly compressed, but still require a large amount of disk space due to the high resolutions. Once you have finished capturing you should convert the saved AVI into one of the popular compressed movie formats such as mpeg or divx. Recommended programs for doing this are tmpgenc (Tsunami Mpeg Encoder), and VirtualDub.
Using VirtualDub is quite easy. To create a compressed version of the AVI follow these steps:
Select File->Open and choose the AVI in the Fraps directory you wish to compress.
Select Video->Compression and choose the codec you wish to compress with (usually divx)
Select File->Save As AVI and specify a filename for the new AVI.
If you have Windows XP you can also use Windows Movie Maker to compress the video files. If you use Windows Movie Maker it's recommended that you keep your Fraps video files at 800x600 or under
the reason you will want to reduce the file size is so you can upload it to youtube or send it to friends without taking a long time.
thats a good place to start.
for editing the movie you can use windows movie maker among other tools.
and for uploading to youtube just make an account there and upload, its really quite simple.
edit- will post links in a sec
ok links up, hope it helps.