I love to people watch. I've said it before and I will say it again. I can sit for hours and hours watching people come and go… I can fall in love with strangers if only for a few moments… There have been more times than I can count that I have kicked myself for not having a camera with me–if only to try my best to capture a few of these people that I get so caught up with, mesmerized by…
I have been asked a few times how I get the photos without people noticing me, how I have the courage to take the photos of a stranger etc etc…
I'm going to be honest, and tell you that I don't have the confidence to ask, I barely have the courage to raise the camera to my face-and in that-there is the secret.
Are you a people watcher? Do great photo opportunities pass you up all the time? Do you ever say 'I wish I had my camera with me!'
I'm done with wishing I had my camera with me… I used to not bring it-simply because it is big, and expensive, and what if? WHAT IF?! well…I've gotten over it-because really? I NEED those photos, I can't not have them… Everywhere I look, I'm eyeing up something, framing it in my mind, already editing it to black and white, adding some grain, giving it something, or letting it be-perfect-as it is…
Let the lesson begin.
1. Blend in. - Stand around, by a wall, by a pole, by a tree…whatever, stand, sit, stay. Become part of your surroundings. Stand to the side in a large crowd of people, somewhere where a person might come to rest for a cig., wait for someone, look for directions etc… This way-when people walk past-they wont think you look anything out of the ordinary.

e.darcy
2. Keep it out. - Carry your camera always, all the time. I wrap the strap around my hand a few times and carry it in my hand, as if it is just an attachment to my body. I figure that this way-it's safe, and no one pays attention to it.
3. Lens. - This doesn't really matter as much if you just have a point-and-shoot camera, but for someone with a DSLR, keep the lens small-try a 50mm lens. Keeps the camera compact enough to not be in your face, or spy like… Looks very innocent.
4. From the hip. - Shoot from the hip. Practice… Hold your camera at your hip, your stomach, even your chest-and snap the photos without looking through the view finder. This takes some getting used to.. After you take a few snaps, check to make sure its in the right area, and try again. If you have to-bring the camera to your face for a few shoots and then leave it. Move on. You've already drawn a bit of attention to yourself.

e.darcy
5. Smile. - The subject you are shooting might notice you… Someone else around them might notice you. I've been caught-and I either get funny smiles, or looks as if I am crazy. Smile back-innocently. Shrug your shoulders. If you are ever confronted by the person you are shooting-compliment them.. Tell them that you just noticed them sitting there-and the light was so beautiful on their face-you couldn't help but take the photo. If you want, if it helps, show them the photo-give them your card, get their e-mail address so you can e-mail them their photo. (I have never ever had to do that… most times if I am caught, I smile-and move on.)
6. Use your judgement. - Be careful of the subjects you are taking photos of. I'm very wary of taking photos of children-there is no law that you can't-but I am just careful about it. Unless you have the courage to ask the parent(s) if they mind if you take a photo of their kid, or-say you DID take a photo, and it shows the childs face-mentioning something to the parent is always nice-and I'm sure they would love a copy of it as well.
(OH! and if I am taking a photo of a busker, musician, beggar…whatever-I generally give them a bit of spare change-but this is just up to you-no one can make you pay for their photo.)

e.darcy
7. Know your rights. - This semi goes with using your judgement, but know where you can and cannot take photos. Photographers have a lot of give in the rule books-but don't step on anyone's toes. If someone says they would rather you not take their photo, move on. If you are asked to delete some-go ahead (unless you really want the confrontation-you DO have the rights to those photos, and by all means-can keep them!) *respect people's rights, privacy, and the rules of any buildings you enter.
8. Keep it simple-and fun-and move on. - Get your shots, quick quick quick. Don't stand around forever trying to get THE ONE. If you can't get the shot-keep moving with the crowd. The longer you take, the more you draw attention to yourself.

e.darcy
Happy people watching!
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*edited to add*
For anyone who wants some more advice, and encouragement on this– visit Shutter Sisters (this article especially).
My good luck wishes to you all!