Which external flash is best?

You might want to check out the Lighting 101 at The Strobist. If you just want a better flash for your camera then the 430EX II is a good cheaper replacement for the 580EX, or you could go cheaper still with the newer 270EX. You should be able to get off-camera cords for all of those. (If you're not sure why you might need an off-camera cord, do read up a bit more about flash photography.)

If you're hoping to get into studio work, it would have to be the 580 EX as you're going to want to be able to use it to control other flash units remotely.
 
580EX if you want a reliable all rounder

Avoid the cheaper chinese ones unless you are willing to faff a bit with them. I've had a fair amount of success with them, but I'd never trust them enough to do anything important!
 
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