Can anyone tell me"in simple terms " how bidding on ebay is done?

Question

is there minimum amounts to be bid on certain items? how do you know?,etc.

Answer 1

you bid the amount the auction starts at if their is no bid yet and beyond that it will tell you the next bid incriment...it depends on where the price is currently sitting.  

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Answer 2

keep in mind that all biding there is a proxy bidding, meaning you should bid your highest bid that you willing to pay, and only lowest bid will be shown and you'd pay if no one bid over

also, may I recommend you an excellent service http://www.myibay.com/ they do snip bids, basically bid at the very last second so no one can bid you over:)