Yes the description is hard to understand.
Walk normally. Swing your arms forwards and backwards. Some people swing their arms a bit outwards, and I think that this is what Master Lin was trying to address.
Walk with your hands open and fingers slightly separated. No closed fist. That's all.
I take my posture queues from the start of the active meditations. Walking with a straight spine, smile on my face, arms loosely at my sides and fingers open and extended. Not the easiest to do at -25 C, but if you dress very warmly it's okay. It's better in the summer.
As for breathing it the same as breathing the universal energy, including the visualization. For me it's the same sensation as breathing the universe. The only difference is no energy feeling between the hands, since they are swing at my sides and not pumping out and in.
I like doing it on bike rides on cool mornings. I can really feel the warming effect of the steam (excess energy) on every exhale.
The key is to relax and breath smoothly and evenly. Getting the posture perfect is less important, as my bike riding implies. 
I've tried to do it while running, and the even breathing is very hard to do, unless you are going at a gently (for you) jogging pace.
You are perfection.
Iam2 
P.S. I have tried doing the small universe while walking and found it too hard to get a good effect. Doing the self-concentration is easier for me to do.
Also while running I've enjoyed opening channels and moving energy to relieve strain and loosen muscles.
I've also use the good example method for working on straining body parts.
[This message has been edited by Iam2 (edited May 15, 2004).]
