Safety in Madrid and Seville (pickpockets mainly)

We will spend four days in Madrid, three in Seville and three in Cadiz in early May 2009. Our small hotel is just north of the Puero del Sol in Madrid. Our aim is not to be too conspicuous as tourists, but we will no doubt not look like the locals.....(see my thread under "What to wear in Madrid and Seville....". I have read some traveller reviews of being pickpocketed in these two cities, even though the persons involved were trying to be careful. Must one always wear a "concealed pocket" or can my husband have a money clip in his front pocket, and will I be alright with a handbag/purse on a longer cross-strap across my front to the hip? Will I really look like a tourist if I do this? What sort of precautions do the locals take to avoid being pickpocketed?
I have not found any help in several guidebooks to Spain and Madrid, on these practical matters.
Any help is much appreciated, thank you.

I have replied to this on your other thread.