Save them as jpg-file. Setting different compression rates lets you control the size.
When the image is ready, add it to your post by using the file attachment option at the bottom of the "reply" form. Clicking on "Search..." lets you choose the file you want to attach.
That will do the trick.
If you're are talking about adding pictures directly withing the posts:
You need your own webspace for that.
After you have uploaded your picture to your webspace, you can display it by using the
will give this:[img]http://home.germany.net/100-499937/maquis/linkbilder/dedication2.jpg)
There are no other ways.