It's a fairly simple matter to construct a led vu meter hooked up to sound output as in this article:
http://www.heatseekerz.net/index.php...articles&id=47
If you want a single led to flash, since thats what it sounds like you want, I would instead of connecting 10 seperate leds connect a single led which is connected to each output with a resistor. Then as more of the output lines become active there are more resistors in parallel, and having resistors in parallel decreases total riesistance, thus increasing brightness.
Or you could simply connect a transistor with a base resistor to the output of your sound card, and use that transistor to turn on a led. I'd actually recomend putting a potentiometer on the base of a resistor instead of a fixed one so that you could adjust the brightness.