Dragon - Need input

Ok, I drew this picture just the other night;


It was a quick free hand copy of this picture;

It is the first pencil drawing I have done in a long long time, and I didn’t want to shade it because I suck pretty badly at it, so I decided I would scan it and colour it. Now I traced over all the lines in Flash and cleaned it up, this is what I’ve done so far;


As you can see, it’s not that great. I was wondering if anyone could give me some input into how to make this and/or future pencil drawings and scans look better, and should I be using Photoshop to colour my images, or just sticking with Flash? (I didn’t use Photoshop before because I barely know my way around it as I never ever use it.) If so, could anyone give me hints on how to colour something like this well, or point me in the direction of some help on how to colour images like this and make them look realistic.