Oops, sorry, somehow I didn't read your entire message before. I see you've been to that setting. My apologies.
How, exactly, are you invoking Camera Raw? From Bridge?
Also check to make sure you have the same setting for the above parameter in both 32 and 64 bit Photoshop. They keep most of the preferences settings separately.
Thanks Noel , The problem only happens when opening the RAW file in Bridge an when the camera raw is set to open a a smart object. If I open it as a non smart object (unchecked the convert to smart object box in the camera RAW window) and save it, it saved in the orginal folder. Opening a file directly from photoshop allows saving of smart objects.
Not sure what you meant by setting the above parameter in both 32 and 64 bit photohop. I am using 64 bit
Photoshop CS5 installs both 32 and 64 bit versions normally.
If you start Photoshop cold from Bridge, which in CS5 is solely a 32 bit application, then it may start Photoshop CS5 32 bit - but I don't remember for sure any more (I've been on CS6 for a while now).
If ever you want to be sure, do Help - About Photoshop and see what it shows there. As I recall it will show X64 if you're on the 64 bit version.
Thanks again Noel . Took your advice to check and it shows 64 bit version . not sure what to make of it.
Sorry to have led you a bit off the topic of the thread, but I honestly don't know why your Photoshop would not default to the location from which you opened a file, with the above-mentioned setting enabled.
If you successfully save a file, does the next save default to the same place?
Are you working from a Windows Library or from an actual location on a hard drive? I never use Libraries, because they're kind of a poor implementation by Microsoft.
thanks againg Noel
To answer your question - yes, but let me clarify
To restate what's going on: The issue seems to only be associated with RAW files selected in bridge, and opened in Camers RAW window with the checked block (opens as smart object). When I do this for one picture save it, and repeat this process for a second Camera RAW file selected in Bridge from another folder then open it in camera RAW an then when I select save, the pop up 'save in' window shows the previous folder as the location where it wil be saved. . If I change the location (navigate to the correct folder) in the pop up window and save it there it is saved there. And then (using Bridge) go to yet a third folder selecte a RAW file and open it in Camera RAW window to open in PS as a smart object it opens as a smart object but when saved the pop up window shows the last folder ( the folder from the previous step) . This mis direction does not happen using the steps described here does not happen when I uncheck the 'open as smart object' in the Camera RAW window, only when its checked.
Opening a RAW file not using Bridge (directly from PS) works regardless of whether the open as smart object box is checked in the Camera RAW window or not..
As to the windows library when I navigate to the files in bridge the path is C>users>Don>my pictures>2012 > folder I choose (e.g. 201200626)