To draw a state, bring the mouse cursor into the diagram, press the left button, move the mouse and release the left button. You have created a state node. This node is selected: that's why 9 handles (little squares) are displayed.

The handle at the center of the node is used to draw a link. The 8 others allow resizing the node. If you want to move the node you bring the mouse cursor into the node, press the left button, move the mouse and release the left button.

State data screen will appear immediately for the new state.

To edit existing state data, double-click on it, or select from menu Item –> Edit…. On edit dialog, you can choose state node background color, shape and assign bitmap picture. See the "State data" topic.