Ah, sorry about not explaining it more. Eye Craft, that speed painting pretty much showed the way I was trying to portray it, but...well, I got a little lazy as you could tell. The main reason why the jagged edges look so, um, jagged, is because while working on this, I used a dark background, so the pixels that show up at the edges didn't show up on the dark background. I completely forgot about those after I converted into a .gif and posted it here. Just plain stupidity on my part there, sorry.

As to the pillow shading, I kept playing around with that. I think I got the central part of it right, but it really shows in the shoulder armor.

I'm still working on that.
Here's the original sprite sheet. The machine on the right was the Mammon Machine from Chrono Trigger. I didn't edit it in any way, just had it there as a curve reference.