Posting photos exactly where I placed my cursor in the post editor

Q: How can I make my pictures go where I want them to be?

A: The "updated editor" allows you to post photos at your cursor position in the post editor.
Go to settings, basic, scroll down to "select post editor".
Select "updated editor".
Save settings

Here is an overview of the updated post editor:
http://www.google.com/support/blogger/bin/answer.py?hl=en&answer=156829