Ok, this is how I do it.
First the picture can't be shared from your computer, it has to be from a photo sharing site.I link mine from my Facebook page. I see others use Photobucket and other sharing sites. When I'm doing a album cover when I'm telling Lon what I am spinning, I find the picture on line and right click on the picture, click on properties and copy the URL of the photo.
Then I open up a new post here on the forum. You will then see just under the name of your post, a bunch of icons. Pick the third one from the left, I guess it is supposed to look like a photo. When you hit that, [img][/img]  shows up. Click between the brackets and paste the URL between them.
You now have pictures!!!! It sounds more complicated than it is. The only problem I ever have is clicking between the brackets.

Thanks, so no way for the photos to be hosted on the site even though there is an up load button in the Attach section. Got it.