Frank --
I've been known to do both: holding it sideways and then blending it with a blending stump, and holding it normally but sketching in very lightly (and then blending).
I'm not terribly happy with either -- it's hard to get an even blend and it doesn't build up much darkness very fast (which is fine for deep sky but less fine for lunar). I've ordered some graphite crayons and charcoal pencils to see if they give me any better results.
-- Jeff.
Nikon 18x70s / UA Millennium Colorado:
Solarscope SF70 / TV Pronto / AP400QMD Coronado SolarMax40 DS / Bogen 055+3130
APM MC1610 / Tak FC-125 / AP1200GTO Tak Mewlon 250 / AP600EGTO