How do you insert a photo in a post?

How do you include a photo on a post (like the one I'm writing now)? When I click on the image icon, it asks only for an http address. I am wanting to include a picture save on My Pictures. Can I do that?
Thanks for any help.

There is a thread stuck at the top of this forum that deals with the topic of including pictures in posts...

http://www.eccie.net/showthread.php?t=251071

The following post in that thread deals with including pictures as attachments...

http://www.eccie.net/showpost.php?p=...9&postcount=33