Add signature to Hotmail account

• Sign in to the Windows Live Hotmail and click on Options in right corner then click More options.
  
  
• go to Customize Your Mail menu. From the menu, click on Personal email Signature. A signature window will open.
  
  
• Type your signature in the box
  
  
  • If you wish to add an image to your signature, please make sure that the image that you want to insert in your e-mail signature is from an active Internet website.
    
  • Use the icons above the text box to modify text as size, alignment also can add emoticons.
    
  • To insert hyperlink Click the "Globe" icon to insert and add web page into your Hotmail signature.
  
  
  
• Click the Save button when yo done and exit

1. On your Hotmail account, click Options and then select More Options.
   
2. Under Customize click Personal e-mail signature.
   
3. visit the website with the image that you want to attach to your signature. (check in url end contain with .jpg) copy that url .
   
4. On the signature page type the text that you want tosee to your outgoing messages and paste the picture url by "Ctrl" + "V" (wait for the image to load completely).

You can add animated image in signature just provide url of .gif instead of .jpeg .follow step as Itronix says but at signature box be sure that there is no a check mark in the Show the rich-text toolbar box. and also turn off Rich-Text Editor by selecting it from the drop down list while composing email.