Im trying to build this gallery:

How would I go about building this image gallery using jquery, and having the thumbnails populate automatically based on how many images I had in a folder? Id like to click the thumbnail and have it open a new page or div with a bigger image.
Id also like to make each thumbnail fade in 1 after the other.
This answer pertains to only the HTML/CSS/jQuery part of your question.
If you want to show images in a folder instead of mini Google logos, you will need some simple server side code written in a language such as PHP or ASP.NET. If you are using PHP, I can write this for you.
I’ve tested this in IE7/8, Firefox, Chrome.
I’ve kept it as simple as I could while trying to keep the details you asked for:
Live Demo
In response to your comments: Live Demo #2