I have to agree Vod on the atmosphere. The Ring is the best example I can think of. It's always dark and ominous and you just feel kind of helpless through the whole thing.
I like a bit of Drama in my horror, but not to sappy. I HATE most horror-comedy, only really great movies can pull it off. If I care about the characters, I'll probably like the movie more. Thats what ruined TCM for me, I didnt know the characters at all.
Of course, the more gore the better. If you dont have a great atmosphere, I can usually be appeased with lots and lots of the red stuff :)
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