There's another little extra with the Link Shell Extension: it can tell when the folder you're trying to "pick up" (mark as the target of a reparse point) is on a volume that's not NTFS. I had the appropriate open-source tools to mount, read and write to an Ext3 volume -- a hard drive I had screwed up a Kubuntu install on but kept around as-is for storage purposes -- and once or twice, when I tried to "pick up" a folder I'd created on that volume in Windows Explorer, Link Shell Extension's pick-up command was conspicuous by its absence.
It does the same thing for any shared folders. Any directory not on an NTFS volume, it just plain doesn't work with. In these circumstances, where "Junction Link Magic" gives an error: LSE simply refuses to "show up."