I am trying to get this to work as well. Right now I have all of my "extra" images on Photobucket because I could just copy their link & it worked great. I am now trying to have everything in my directory the way it should be =). My images are in this folder: /var/www/html/skin1/images/thumbnails when I access my FTP.
I put the image I need into that folder & then typed in this code: <img alt="Available Clasps" src="{$ImagesDir}/clasptype.jpg" align="left" border="0" />
I get a box labelled "Available Clasps" with a red x. What am I doing wrong?