upload any pics to Flickr/Photobucket/Fotobox/Google, and link to them!
If you want the easiest of all ways to handle images, download Picasa from Google, fire it up, let it catalogue all the pics on your hard drive, and then things like optimising them for emails/websites is literally a "one-click" job (as is uploading them to the generous 1gig free online picture storage area......)
THE, when you've got your pic online, copy it's web "address" - and then "paste" into the centre of the bit of code that the "insert image" icon plonks into your text (between the two square brackets, slap bang in the middle - ][ ) - Bob's yer uncle!
An image url looks something like this - "
http://solarwind.org.uk/e107_images/solarlady200.jpg"