Watch object variable change in parent

Flash CS4
AS2
I've been trying to use the object.watch() method.  I've never used this before, so I'm assuming I'm pretty far off base here.
What I have is a parent movie (_root.) that has a bunch of variables.  As the user progresses through the movie/project the variables change based on the user's actions.  Within this parent movie there is another movie embedded.  In this movie, things change based on the variable changes of the parent movie.  So, for instance, say the user gets through frame #20 and hits the "next" button in the parent movie, this triggers a variable change in the parent movie, which then causes the embedded movie to change its color from blue to red (or whatever, action doesn't matter)
var btn1:Object = new Object();
btn1.complete = _root.btn1_comp;
btn1.watch( "complete", watcher);
var btn2:Object = new Object();
btn2.complete = _root.btn2_comp;
btn2.watch( "complete", watcher);
function watcher( prop, oldValue, newValue, userData )
  gotoAndPlay(1);
So this is what I'm doing right now - this is the actions in the embedded "child" movie clip.  I'm not really sure if I'm doing this right - but basically what happens is that this is suppose to watch for the variables "btn1_comp" and "btn2_comp" in the parent movie clip (at the _root.).
Taken from an example I saw somewhere, this should assign the variable in the root to the property of the object in the child "btn1.complete" and "btn2.complete"  - but basically what I really need, is for it to watch if "_root.btn1_comp" and "_root.btn2_comp" change...
Anyone have any ideas on how I go about doing this from here??
The function "watcher" - is supposed to just replay the embedded movie clip - because it has a bunch of AS that changes the state of the movie clip based on the variables it pulls from the parent - but I need it to know to "replay" itself when a parent variable changes - I can't have it continuing to replay itself because that would end in a crazy endless loop.
Thanks for the help!
-R.J.

Any chance anyone can offer some insight for me on which way I need to go with this?

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