To make it run, you can't have it inside of a post. It has to be within one of the template files. I have mine in my sidebar at the very bottom. It works loverly.
Here is an example of my tag:
<li><?php _e('Thoughts'); ?>
<ul><li id="witty"><?php witty (); ?></li></ul></li>
The text file needs to be NOT in the plugin directory. It must be in the
wp-content folder. The text file can use html and each quote or use must be on its own line, but you can use
<br /> for line breaks within the quote. Here are the first two of mine:
Wear a smile and have friends; wear a scowl and have wrinkles. What do we live for if not to make the world less difficult for each other?<br /><i>George Eliot</i>
Travel has a way of stretching the mind. The stretch comes not from travel's immediate rewards, the inevitable myriad new sights, smells and sounds, but with the experiencing firsthand how others do differently what we have believed to be the right and only way. <br /><i>-- RalphCrawshaw</i>
Hopefully that will work for you. Click on my name to see this in action on any of my articles.