Alternatively, one can use HTML code tools (upper left of the post editor window.) The 'globe with a paper clip' icon allows one to embed a link with a Readable name as in: Link to TheSilverBuick's photo bucket In this case the URL is hidden under the descriptive label. There are two prompts - the first is for the URL the second is for the label.
Two icons over from the globe is the 'enter an image' icon. Single click and one can choose to have floating or non-floating image (centered, right or left justified) as in this non-floating image:
You will then see the [url= and [img] HTML tags in the editor. One can also type the tags directly.
