I'm trying to use dynamic text in my flash site, I'm using an external txt file
to upload my text. But when I publish the site I get an error
"Error #2044: Unhandled ioError:. text=Error #2032: Stream Error. URL: bio2.txt
at alamode_test_fla::MainTimeline/alamode_test_fla::frame34()"
I have no idea what this means or how to fix it. I'm new to Flash CS3 and
action script 3.0 Can some one help me out?

Yes, that error usually shows if the url is incorrect. It means that Flash
can't find the file that you specified. The path that you use is correct if the
file, bio2.txt is next to the .fla file in use. if your file is in a folder
then add the folder's path: folderName/bio2.txt, for instance.