To open VS code from the command line you need to do the following:
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Click 'View' -> `Command Palette'.
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Type and find the
Shell Command: Install 'code' command in PATHcommand.
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Restart your terminal.
Now you will be able to open files and folders from the command line.
Ways to open files / folders
Navigate through the command line to the folder you want and type and enter code . to open VS code in that directory.
You can also write in the command line code path_to_folder to open a specific directory. Or you can write code path_to_file to open a specific file from the command line in VS Code.
Lastly, you can also just write code new_filename.html to open a new file.