Pen Tool Tracing

Above showing the anchor handles selected via the  Direction selection tool (the white arrow)

There's 2 handles to each anchor point-  in and out

The yellow line has then unbroken giving a smooth curve

The purple one they are broken, leaving a bump, like in your example.

To remedy

Select just the problem anchor point with the Direction selection tool (the white arrow)

and click on Convert selected anchor points to smooth, above

or

use the Anchor Point Tool (nested under the pen tool) and click drag on the anchor point to redraw with handles connected.

And do some exercises like these:

Start creating with the Pen tool |

Usamaa,

In addition to what Doug said, you may be may repeating the use of the Pen Tool by Click(Dragg)ing on top of the latest (Click(Dragg)ed) Anchor Point, thus creating unwanted corners.

Presuming you have locked the paths to redraw, just do it once, Clicking for straight path segments and ClickDragging for curved ones.

For transitions between straight and curved segments (corners) when wanted, you may repeat the use of the Pen Tool on top of the latest Anhor Point.

To adjust the position of an Anchor Point while you are at it, Hold the spacebar to (freeze the Handles and) move the Anchor Point about; you may switch between adjusting the Handles and the position as many times as you wish before going on.

select the anchor point and either:

- click the 'smooth' option under Convert in the properties panel/control bar

- use the convert anchor point tool and click-drag on the point.