Close, but that's #2.
The worst thing you can do with a visual aid is to spend your presentation looking at it....instead of your audience.
You can look at it for a few seconds, while keeping your mouth shut. This gives your audience the chance to take it in, without being distracted by your words.
Despite the protests of i-pod addicts, people cannot take in information from 2 different sources at the same time. Either they read your slides OR they listen to you. They're not doing both at the same time.
That's why you limit text on a slide.
Once you're talking, look your audience in the eye, one person at a time.