Hi Mary,
Holding and petting are actually ways to be simultaneously kind and show dominance, and to build a positive relationship, as is hand feeding. As with children and puppies, you don't reward aggressive or undesirable behavior with treats, but you absolutely reward good behavior.
Another option if you want to help your rooster learn to behave (and not just punish him with sticks and squirt bottles for displaying a natural behavior) is to continue picking him up, petting him, and allowing him to have positive loving human interactions. Aggression breeds aggression. So...