Everything is set correctly... This one is puzzling me. Is this happening on other computers you may use, or just one?
Maybe you could try to clear all of your cookies and cache in the browser you are having trouble with.
Try logging out and logging back in again... though that should not make any difference as you should not have to be logged in to see images.
We still have trouble with some having to refresh the screen after log in to show themselves as logged in, but that should be a separate issue.
Please do some experimenting and let me know what you find out.
If others reading this thread are having similar problems, be sure to let us know.
This forum software will be upgraded soon and hopefully that resolves some of these issues.