To create an unordered list in Live View, you need to start with a paragraph. In HTML, bullet points are called an unordered list and are wrapped in a pair of tags.
This is why it's a good idea to keep an eye on what's happening in the underlying markup, even if you don't want to type the code yourself. Leaving the character entity for a non-breaking space in the underlying code can cause problems for layout. If you see, go into Code View, and remove it manually. Dreamweaver adds it because it needs some content between opening and closing tags. This is an HTML character entity for a non-breaking space. If you're not careful when replacing all the placeholder text in Edit mode, Dreamweaver might add immediately after the opening HTML tag or just before the closing tag. In Code View, the text between the tags should be exactly the same as you have just typed. Click away from the orange border to exit Edit mode.
The blue border is replaced by an orange one, and Code View is grayed out.
If the pop-up in Figure 4 is still displayed, click away from it to close it. Then click OK to close the first dialog box.