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Direct speech :  (Quoted speech)

     The sayings (words) spoken by a person are quoted as they are, within quotes. 
               He told "it is going to be a beautiful morning tomorrow ".
               He asked "Are you alright? " 
                 I am writing a letter.

Indirect Speech : (reported speech)

      The sayings spoken by a person are transformed in tense and person. The sentence is mentioned as if it is being told by the second person, who listened to the saying of the first person.  The speech of a person are reported by the listener or a third person to another person.

           He told me it was going to be a beautiful morning the next day.
           He asked me if I was alright.

           A letter is being written by me.

the words are quoted and are said directly to a person. for example HE SAID,'I AM GOING'

the words are not quoted and are said indirectly.for example RADHA SAID THAT SHE WAS GOING TO LEARN.