This article is a cut and paste from a discussion on Flickr.
1. Set your camera to Av mode. f/8. (f/11 or f/13 work fine, too).
2. Set metering to "spot" (use the "[*] WB" button on the top
and turn the TOP wheel until the graphic just below the 8.0 shows a solid
dot in the middle of the square.
3. Put your camera on a tripod and point it in the direction you want for
your shot. Set your "AF-Drive" (Drive) to 2-second delay.
4. Turn on LiveView - if your camera is set like mine, you can use the "Set"
button in the middle of the back wheel. If not, you need to go to "Menu -
Wrench **" (which has LCD brightness at the top and "LiveView" one line
above "Flash control"). While you are there, turn Grid Display ON and
Disable Silent shoot. The 50D uses a button in the upper left to enter
LiveView mode.
5. Your 40D display will now look like all of the point and shoot cameras in
the world (but you can smile because it's better!). You won't be able to
look through the eyepiece, but you SHOULD notice a white box - most likely
in the middle of the display.
6. Use the directional thumb "button" (above the big wheel at the back) to
move the box up or down, right or left and put the box around your BRIGHTEST
item (e.g. the sun). You can use the "zoom in" button to digitally zoom in
5x (press it again and you've zoomed 10x once more and you're back to
regular view). If you accidentally press the thumb button in, the box
returns to the middle. Annoying most of the time, but helpful once in a
while.
7. Optionally turn OFF focus and use your zoomed view to focus on what YOU
want to focus on.
8. With the white box around the "bright" part of your image partially
depress your shutter button. Notice the exposure time in the lower left?
That's what the camera thinks is the proper exposure for the bright thing.
It's probably close. You may want to adjust your exposure "down" (darker) by
dialing the big wheel to the left a click or two. (You did turn the camera
ALL the way On, right? The exposure compensation [wheel] doesn't work if you
turned it to the first on position.)
9. Take a picture.
10. Press the "Play" button and see what you get. My guess is the sky will
look nice and colorful, but everything else will be dark. This will be your
BEST exposure of the beautiful sky... but probably not your best exposure
for the rest of the image. If things are peachy, you can get something like
this:
See also some excellent advice from other contributors: