I have level 89 pickpocketing and I can take weapons from people. the reason why I think taking weapons is the best thing is because I take all the weapons from guards and then get a bounty. I then try and kill all the guards in the area just punching them.

in this image I have my weapon out because I tok the photo just before changing to fists. I had to be quick because i play on Legendary. http://minus.com/mbxgKoqe0rmJxj

Are you roleplaying as an Argonian merchant?

my character is a nord Vampire.

Oh, I see. The hair looks kind of green so I thought it was the skin of a lizard.

If only npc's would equip the armor they are givin then that would make pickpocketing alot more fun.

It was just the light. here is my character http://minus.com/mbpjcBMoi5q7FT