Charms, Infusions and Enchantments are all different ways of Enhancing your gear, and increasing your gear score, while offering you powerful new abilities and buffs.
The simplest of these are infusions- these are power-ups which enhance the natural Stats of your gear to make it even stronger. Some examples of what an infusion can achieve include; Increasing a ranged weapon's effective range, reducing the overall weight of an item, Increasing damage or critical rating and much, much more. You can have up to 3 Infusions on an epic Item, 2 on a rare item, and just 1 on an uncommon item. You cannot have more than one of the same infusion on an item at once, and they cannot be removed once added, though you can replace them with other infusions.
Next, We have Charms. Charms offer Passive buffs to you and your Gear, such as increasing your melee damage after casting a spell, Increasing your chance to recieve essence when doing certain actions, or even preventing you from becoming tired and hungry while fishing. Unlike Infusions and enchantments, you can currently only have a single charm on each piece of gear at once. However, as with the others they cannot be removed once added, but can be replaced.
Finally, we come to enchantments. These are essentially spells you can equip to your weapons. There are many effects that these spells can produce, which can be combative, or helpful for gathering and exploration.
Some of the combat spells include: Hermetic Flame, which engulfs your weapon with flame for one or a number of hits depending on your magick power and charge; Quake, which causes a powerful AoE dealing damage and knocking enemies back; Jana's Roar, Which either taunts or terrifies nearby enemies depending on their power.
A Few examples of other enchantments are: Regrowth, which hastens the respawn rate of trees and plants that you've harvested in the area; Track Legend, which shows the way to the nearest fabled or apex creature; and Oberon's Bounty, which increases your gathering power, allowing you to more quickly destroy rocks and trees.
As ranged Weapons have the reload property, enchantments cannot be applied to them. Similarly to infusions however, you can have multiple enchantments on each item, depending on the quality.
My personal favourite enchantment is Quake, I love having an AoE available. For infusions, I usually go for increased damage/crit, reduced weight, and stamina efficiency. A charm i find very handy is the charm of the terrifier, which scares enemies whenever you score a crit on their allies, because I'm a charming fellow like that.