I seem to have found what prevents me from uploading URL pics. Apparently my URL addresses are too long for the space you type them into. This is what I was copying to paste in:

<http://preview.dieseljunky.photosite.com/~photos/tn/11759423_1024.ts1183597590000.jpg>



But the end of it gets chopped off resulting in this URL being what is uploaded and why it fails:

<http://preview.dieseljunky.photosite.com/~photos/tn/11759423_1024.ts1183597>



After all these months I can't believe I never noticed that!! Now oddly enough it will tell me "image successfully uploaded" if I hit upload with that cut off URL even though it hasn't and won't. So my solution was to change the URL of the photos on my website dropping 9 unecessary letters. So the URL up there at the top became:

<http://9.photosite.com/~photos/tn/11759423_1024.ts1183597590000.jpg>



And that image successfully loaded into my gallery. Now as far as uploading direct from my computer I still haven't figured out why that's not happening but at least I now have the URL method.

 

If you figured that out, using attachments will be a breeze!