I was never really happy with my first attempt, so I downloaded GIMP and tried again. I'm still getting used to the program, but so far it seems to be okay. Yay for transparency? Anyway, I'm still not terribly happy with the shading, it's a little weird on the wings, but it's a start. Maybe I'll redo it again at some point.
Pokemon and Lugia (c) Nintendo and GameFreak
Lugia in Flight original: [link]
Lugia in Flight pixel first attempt: [link]