Acutally when you realize that the coords are just x and y positions it's easy.

just add

function drawit(coords){

if (idx<coords.length){//Not the end of the Array?

if (coords[idx]>=1000){//it's a moveTo
trace("MOVE");
//Move it
canvas.moveTo(coords[idx]/1000,coords[idx+1]/1000)
mc1._x=coords[idx]/1000;
mc1._y=coords[idx+1]/1000;
}//End if Move

if (coords[idx]==-1){//it's a Change Color
trace("color");
canvas.lineStyle (3,coords[idx+1],100)//assume line width of 1 and Alpha of 100

}//end if Change Color

if (coords[idx]>-1 && coords[idx]<1000){//It's a lineTo
// trace("line");
//draw the line to the coordinates
canvas.lineTo(coords[idx],coords[idx+1]);
mc1._x=coords[idx];
mc1._y=coords[idx+1];
} //end If lineTo


}//end if
idx=idx+2;


}//end function


where mc1 is a movieclip with a pencil image aligned on the center of the movieclip (there is one in the clipart)