Hi Eric
100% correct!! If you ever see a guy using a stedicam you will see that his knees are bent.
Whitemarble : You actually need to learn to walk smoothly with no jarring or suddenly movements. I call it "float-walking" !!! I try to walk as if I'm floating over the ground with little or no gravity with smooth and very fluid movements!! Yeah, you do look a little strange moving like that but the technique is very easy to master and your shots will be a lot smoother!!

Try it, you will be pleasantly surprised how much better your shots will look!!