This is going to be in my game based on Zelda. It's the horse. Link is going to go up and get on the horse and ride around the paddock in a mini-game, or if I can work it out properly, in the actual game fighting monsters.

NOTE: If anyone knows how to stop it from occasionally just walking straight in to the mud without turning around and going the other way can you please tell me? cheers- i used this tutorial:
http://www.gamesheep.com/free/flash-tutorials/1-flash-racing-game-1/flash-tutorial-1-1.php

NOTE 2: Problem fixed. The problem was related to the size of the hit-area not being as big as the horse.