The Southern Air Temple - S1-E3
Other mistake: When the gang is in the Hall of Statues of Past Avatars, Katara points out the avatar cycle pattern of statues and Aang zeroes in on Roku's statue. The earthbender avatar statue next to Roku is of an unknown man with a sword, not Kiyoshi. (00:12:50 - 00:13:35)
Character mistake: When Jet tells Katara and Aang to waterbend the water from underground in the geysers, Katara states that she has never waterbent on water she couldn't see before. However, six episodes prior to this, in 'The Warriors of Kyoshi', she waterbends the water out from Aang's lungs to save his life.
Suggested correction: That was a moment of desperation on her part, and she probably doesn't think of it/think she can do it again without the same desperate impetus, Furthermore, the water in Aang was only a small amount and very close anyway.
Regardless of if she did it in desperation or not, she did use bending on water she didn't see. The mistake isn't suggesting anything about Katara's ability to waterbend unseen water, the mistake is only in regards to the statement Katara made about never using bending on water she can't see. And for Katara to forget the one time she used bending on water she didn't see would qualify as a character mistake as well. Now if she made the statement "I don't think I can do this" or "I've never used bending on underground water", etc, that would not be a character mistake.
The Southern Air Temple - S1-E3
Continuity mistake: When Gyatso is laughing in Aang's flashback, he is missing quite a few teeth. But when Aang finds his skeleton, all his teeth are still in place.
The Northern Air Temple - S1-E17
Plot hole: They specifically say there is a door no-one but an Airbender can open, but then when it is opened, we learn the Mechanist uses it. How did the Mechanist get in?
The Boy in the Iceberg - S1-E1
Continuity mistake: In this episode, Katara remarks that "This ship has haunted my tribe since Gran Gran was a little girl. " However, in the episode "The Puppetmaster" it is revealed the ship wasn't beached there until Gran Gran was in her late teens or early twenties.
Suggested correction: You sure that was the same ship, and what's 5-10 years give or take compared to Gran-Gran's life anyway?
Bato of the Water Tribe - S1-E15
Other mistake: When Katara is behind Sokka and he is speaking she leans back and as she does her eyes stay in the same place while her head moves, then it fixes itself. (00:16:20)
Imprisoned - S1-E6
Continuity mistake: When the gang meets Haru, Katara teleports from behind a log (shoulder still visible) in one shot to greeting Haru several yards in front of the log a split second later. (00:02:50)
Continuity mistake: When Aang emerges from the water on the giant sprout in The Avatar State, the arrow on his head is not glowing.
The Northern Air Temple - S1-E17
Continuity mistake: When Aang, Teo and Katara are walking up to the door of the Air Temple Sanctuary, the pipes which make it open are in a horizontal position, but in the next shot, they are vertical. (00:09:20)