It is a little troubling that in the game rules “When X, Y” frequently means to do Y right away, but in the card text “When X, Y” almost always means to put the action of doing Y at the end of the queue of things to do.
The ability on Smoker and the game rule about Illusions have to happen during the resolution of spells and abilities to work. Also, abilities like the one on Graveyard that instructs you to move things out of your discard pile have to somehow always happen before abilities that instruct you to draw a card.