Also is there a way that I can animate layer order?
Even simple stick figure animation can get complicated. Flash doesn't offer the ability to edit layer order during playback. The timeline is kind of fixed like that. But the work-around is old school whereby you will need to create a new layer and place it where you need in the layer order. Then put the sword into that layer when needed. So...
If I understand correctly, let's say the figure is holding the sword in his left hand which is behind him and you want him to switch to holding the sword in his right hand (in front of him):
1. Sword is in a layer below most/all of the other layers of the stick figure.
2. Create a new layer above all other layers.
3. Go to the frame number where you want the sword to switch hands and copy the sword.
4. Insert a blank keyframe in that frame in the layer for the sword.
5. Insert a blank keyframe in the new layer above all other layers.
6. Paste in place the sword, position it in his right hand and continue animating from there.
Hope I understood this correctly.