nexusonemeover,
Use a program called the deshaker with VirtualDub to smooth out your raw video. Here a guide for using it.
http://www.sundancemediagroup.com/ar...aker_guide.htm
This is a before and after video I made up using the program. The right side is without. The left is with. This is done after you shoot your video.
http://video.yahoo.com/watch/7210237/18787156