You can draw on root window - your code probably works, but root window may be obscured by some kind of desktop window (nautilus, kde desktop etc). Try to start X session without any programs running and you'll see updates (you can use Xephyr or Xnest for this)
Another approach would be to create transparent window, make it topmost and draw on it's surface. You'll need to propagate mouse events to underlying windows manually.
To actually draw on top of all windows you need to create simple composite manager or if there is already CM running use it's overlay window.
From composite protocol spec:
Version 0.3 of the protocol adds the Composite Overlay Window, which
provides compositing managers with a surface on which to draw without
interference. This window is always above normal windows and is always
below the screen saver window. It is an InputOutput window whose width
and height are the screen dimensions. Its visual is the root visual
and its border width is zero. Attempts to redirect it using the
composite extension are ignored. This window does not appear in the
reply of the QueryTree request. It is also an override redirect
window. These last two features make it invisible to window managers
and other X11 clients. The only way to access the XID of this window
is via the CompositeGetOverlayWindow request. Initially, the Composite
Overlay Window is unmapped.
CompositeGetOverlayWindow returns the XID of the Composite Overlay
Window. If the window has not yet been mapped, it is mapped by this
request. When all clients who have called this request have terminated
their X11 connections the window is unmapped.
Composite managers may render directly to the Composite Overlay
Window, or they may reparent other windows to be children of this
window and render to these. Multiple clients may render to the
Composite Overlay Window, create child windows of it, reshape it, and
redefine its input region, but the specific arbitration rules followed
by these clients is not defined by this specification; these policies
should be defined by the clients themselves.