No its not camera shake , same shot set up with flash is crisp , looked at the settings and no obvious change.
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Exactly. The burst of flash freezes the movement - no blur. Maybe it's time to go investigate the knobs buttons and menus and find out what they do! You need to use a faster shutter speed and correspondingly either a wider aperture or higher ISO - or probably, both.
I've never shot in anger with a digicam, I know I can hand hold certainly 1/4th and often lower with a rangefinder and wide angle lens, with a DSLR, I can go to a 15th on a good day. Using the LCD finder of a digicam, I'd guess you are less stable than bracing an optical VF, see if you can keep the shutter above 1/30, though even there you may stuggle, back when I used film SLRs with their big mirrors, I stuggled to hold a 30th. When you are this slow though, motion blur becomes as much of an issue as shake.