We recently saw how to use the Desktop Background Slideshow feature in Windows 7. When working with images, I just observed that you can use this feature directly from Windows Explorer, without having to use the Personalize applet. Here is how!
Open the folder that contains the image files which you want to use for Desktop Slideshow.
If you want to use selected images from a folder, press and hold the CTRL key (to multi-select) and click on each image file.

Right-click and choose Set as Desktop Background
The desktop background will switch automatically (from the list of chosen images) after the specified interval.
Also, in the Personalize applet you’ll note the checkmarks enabled only for the image files which you multi-selected using Windows Explorer. Rest of the images are unchecked.

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