There are three different image display modes that the user can set using the "Image Display Mode" combobox located above the "Topic" pane.
Inline - images will be displayed within the topic in the "Topic" pane. This is a default setting.
Frame - image links will be highlighted in red in the topic content. To view an image, click on its link within the topic and the image will be displayed in a separate frame under the "Topic" pane.
Window - as in the Frame mode, image links will be highlighted in red in the topic content. If you click on the image link, the image will be displayed in a separate IE window, not in a frame.