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I've read that lots of my fellow bloggers are having problems posting pictures. What I've been doing for some time is copying the code from a previous post and just pasting the link to the new picture into the code. I also change the size of the photo from this code. Of course if you're using Blogger to host the photo, that won't work. This is why I decided to use a different site (Flickr) to host the photos.
If you want me to e-mail you my cheat sheet, drop me an e-mail...
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