Almost forgot about this subject, thanks for bringing it back up. I found a little flasher circuit, a tiny, one about the size of a SMT resistor. They're in those cheap flashing badges, I have a couple of them from a trade show. The good news is that they're tiny, and very simple. 1 chip, 2 leads to go to the LED, 2 leads to the battery, and 2 to the switch (actually, only 5 leads because the battery and LED use a common ground) It's almost perfect for what I'm looking for, but the only problem is that it flashes too fast and too bright. Don't know anything about the chip, and I've already burned one of them up just playing with it.
BillW, thanks for the link, I'll have to check it out more carefully, but it sounds like the kind of stuff I'm looking for.
LEDmasap,
I wish I had all that room in the original cap, but I'm using a RAM tailcap switch that has the switching mechanism right in the center of the cap. So I'll have to figure out a way to stuff everything inside and still have an operational switch.