I don't know why it's happening, but I think when you see the red x and the pixilated large image what has happened is that Rosity thinks you entered no thumbnail image, and it thinks that your thumb is your large picture, so it puts the thumb up very enlarged and of course it is pixilated. You might want to check with admin about this, but first be sure that you are moving to the second line to upload your large image. I hope that helps.

Fractals will always amaze me!