How to Hold a Ukulele?
The golden rules:
1. You must feel comfortable. It doesn't matter if you're sitting down or standing up. Find the most comfortable position. If you're sitting down, it's a good idea to rest the bottom of the ukulele on a slightly risen leg (it makes you look cool and artistic!)
2. It's OK to relax! Don't hold on to your ukulele tooooo tightly because you might lose volume and tone. Think of the ukulele as a baby. Be gentle!
3. Now the technique: hold the ukulele close to your chest and cradle it with your strumming arm (this would be the right arm for most of us). You'll want to gently squish the ukulele between your wrist/forearm and body. With your non-strumming hand, support the ukulele by resting the underside of the fretboard (near the nut) on the part of your hand where your thumb meets the index finger.
4. Make sure you can comfortably extend your index finger to the place where the neck of the ukulele meets the body. This is where you should be strumming - near the 12th to 14th fret. Don't strum near the hole unless you want a very bright sound.
5. If you're holding your ukulele correctly, you should be able take either hand away and have the ukulele stay where it is.
It's no use using just WORDS to describe how to hold the ukulele. Check out how Jake Shimabukuro does it (notice how he rests the ukulele on his right leg to give him the extra support).