My dads 97 F250 7.3 did the same thing for a while. Turns out the ATF was a little low. Once ATF was added the light went out on its own. Maybe a coincidence, however. The tranny blew a year later.
On my 99 F250 7.3 I replaced the Vehicle Speed Sensor one day and the OD light began flashing as soon as I started the vehicle up after the VSS replacement. I tried to see if any OBD2 codes were showing, but nothing came back on my scanner. I ended up going to Ford for another issue and they cleared the light problem. I cant remember what the service guy said caused it on my 99, but I remember that he said it was no big deal, a quick and easy fix for him. Hope this helps.