I have a few more suggestions...
The humor you've put in the game so far is great, keep it up. I loved the trees afro-slap.
So far it looks like your doing everything right. The only problem I see you running into is file size issues. I mean, just the intro and 2 battles are running at almost 1400kb..that seems a bit much. I'm imagining the sound you are using is taking up the most space since you dont seem to be using very many gradients or much shading. The first thing I would do is work on getting the file size managable. Goto Flashkit or look in Flashs help files for info on optimizing all your files.
The battle set up is really sweet. I like all the different options you have.
As far as the blood goes...who cares?? None of the zelda, or early final fantasies, or Secret of Mana, or mario RPG had that shit, so I wouldnt eben sweat it. People who want to see blood to feel a game is complete are idiots and need to go seek mental. Blood doesnt make a game any better. Is its good, its good regardless of the red splatters.
PBM
www.spunkbubb le.net