WEP is Wired Equivalent Privacy, not Wired Equivalent Protocol. </nitpick>
And yes, it's very very broken. Cracked in 5 minutes or less kind of broken.
Either flavour of WPA (Wi-fi Protected Access) will do the job. The difference between WPA and WPA 2 is highly technical, but it has mainly to do with algorithms, if you can dig that.
PSK stands for Pre-Shared Key, and it's exactly what you'd expect. Standard password rules apply: your passphrase should be at least 8 characters (ideally 16 or more), alphanumeric, preferably a random string. Or you can use a randomly generated 64 character hexadecimal number. Just make sure you write it down.
All hardware made after 2000 will support WPA 1/2. It's just a firmware upgrade to implement support on older cards.
__________________
I wake up in the morning more tired than before I slept
I get through cryin' and I'm sadder than before I wept
I get through thinkin' now, and the thoughts have left my head
I get through speakin' and I can't remember, not a word that I said
- Ben Harper, Show Me A Little Shame
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