The Pencil Tool is another one of photoshop's drawing tools and sometimes will be needed in photo restoration for fine adjustemts on theindividual pixel scale. The pencil when selected will draw a single pixel line on the layer seleted. The tool is not constrained by any shape dimensions so can be used as a free hand tool for drawing. However, when it comes to photo restoration this is rarely needed and the tool is only really used to filled in tiny areas of only a few pixels in diameter. For example, if you have used the lone stamp tool on a certain area need to just touch up the edges of the area to blend it in better you zoom right into the area you want to work on just touch up the area pixel by pixel. When considering photo restoration the work that would be done by the pencil is very similar to the brush tool that can also be reduced to a single pixel in diamter and when the hardness is incresed to 100 the results are practically identical. As with the brush you can change the colour of the line by selcted the foreground colour and choosing what ever colour you desire.