Change the anchoring options, right-click on from "Inline" to "Position User Defined" (don't know the exact term; I'm working in a German version of InDesign).
Thanks for the quick response. I don't know where to find the anchoring options. I unchecked the option "Invert" for the picture and I chose the wrap around object shape (middle option at the top) and only chose top offset and that seems to have helped. Thanks for pointing me in this direction this was driving me crazy all week!
From the screen shot I'm not sure the image is anchored at all, and I think Inline (NOT above line) would actually be better than Custom (the English term you want), but the image should be the first thing in the paragraph or frame.
Wrap applied to an inline anchored object would affect all text following the object. For custom positioned it will only affect lines of text after the line that contains the anchor.
> "I have a text frame with text and I have placed a linked image inside of the text frame. For the image I chose the text wrap option of wrap around bounding box, no offset and I clicked the invert option." I'm not sure what this means, but I suspect it means the image is just positioned inside the text frame, not anchored. Checking Invert would tell ID to keep any text INSIDE the image area rather than outside, so you need to uncheck that.
> "For the text frame I also chose the text wrap option of wrap around boundign box. it has a - p3 at the top, left offset of p4, bottom inset of -1p, no offet at the right. I don't use InDesig much and I don't understand the text wrapping options." Text wrap is applied to objects you want text to wrap around, not to the frame that contains the text you want to wrap around an object, so setting wrap on this frame does nothing for you.
I think what your screen capture is showing is that the image is above the text frame, not anchored, and it is covering the first part of the text that is wrapped inside the image area because of the invert choice. You can either anchor the image frame or leave if free-floating, but to achieve what you seem to want you will need to uncheck the Invert box and set some positive offset values for the wrap applied to the image frame.
Hi Peter, you have really cleared up many of my questions about text wrapping around an image. Thanks so much!