I bought one, but I haven't had a chance to fool with it yet.
Get the Slash (#6808) 4x4 manual (uses this radio) and print pages 13-15 & 28-31 for reference, you'll never get it figured out otherwise, it seems straight forward, but you've got to know what to do and how to do it. Just offhand, the flashing red LED means link failure/error - no longer bound. See pg 29, trans LED codes.
http://www.traxxas.com/products/elec...ews.htm#manual
I'd be really surprised if you can find that kind of help over the phone, but you may be lucky. There are two places in the rcvr provided for dual strg servos, it doesn't matter which one you're using.
You did calibtrate the radio to the esc?