Ok I made a colors.xml file which darkens dazzle as best as I can manage. It's not perfect but you won't get eye bleed now.
See picture below. The SL windows are less transparent when selected.
You will need to find the colors.xml file on your computer in the Second Life Release Candidate/app_settings folder. Then back it up and replace it with my attached colors.xml. Also keep a copy of my colors.xml if you like it in case SL overwrites it.
Do not touch colors_base.xml If you do reinstall the SL client.
Since I have done this on Linux someone else can make a Windows and/or Mac walk-through if they wish.
Screen Shot at:
http://i242.photobucket.com/albums/ff38/psyke777/DontDazzlePsykes-1.jpg
--- colors.xml starts here ---
<?xml version="1.0" encoding="utf-8" standalone="yes"?>
<settings version = "101">
<!--
Version 002 by Psyke Phaeton 2008 April - Initial
Version 003 by Psyke Phaeton 2008 April - Inventory Pop-Up menu background color made dark blue
PROBLEMS ENCOUNTERED:
=====================
* Drop boxes (eg. Communicate popup menu) background is always white
* Changing Button/Tab shades also affected other icons (eg. building , scripted, nopush, L$ button, tick boxes). So buttons can't be very dark
* Some background graphics can't be changed from light blue (eg. lower login screen, local chat background)
-->
<!-- WINDOWS: General windows traits -->
<FocusBackgroundColor value="0, 0, 0, 200" />
<DefaultBackgroundColor value="0, 0, 0, 128" /> <!-- Background color for unfocused floaters -->
<DefaultHighlightDark value="50, 115, 185, 255" />
<DefaultHighlightLight value="50, 115, 185, 255" />
<DefaultShadowDark value="2, 5, 9, 255" />
<DefaultShadowLight value="13, 29, 46, 255" />
<!-- LABELS: Normal info text describing options on panels -->
<LabelDisabledColor value="120, 120, 165, 128" />
<LabelTextColor value="150, 150, 230, 255" /> <!-- like preference menu info text -->
<!-- BUTTONS -->
<ButtonLabelColor value="220, 220, 220, 255" /> <!-- Text labels for buttons, like the "OK" text -->
<ButtonLabelSelectedColor value="255, 150, 150, 255" />
<ButtonLabelDisabledColor value="0, 0, 0, 128" />
<ButtonLabelSelectedDisabledColor value="0, 0, 0, 128" /> <!-- all text to here -->
<ButtonUnselectedBgColor value="0, 0, 0, 255" />
<ButtonUnselectedFgColor value="0, 0, 0, 255" />
<ButtonBorderColor value="0, 0, 0, 255" />
<ButtonColor value="0, 0, 0, 255" /> <!-- Blended with button art, usually left as opaque white, NO EFFECT -->
<ButtonImageColor value="120, 120, 120, 255" /> <!-- Blended with button background AND MENU ICONS, usually left as opaque white -->
<!-- TEXTFIELDS: Boxes we could potentially type in -->
<TextBgFocusColor value="0, 0, 0, 255" /> <!-- Text field background when receiving input (focused) -->
<TextBgReadOnlyColor value="0, 0, 0, 100" /> <!-- Text field background when read-only -->
<TextBgWriteableColor value="20, 20, 20, 255" /> <!-- Text field background when not receiving input (unfocused), opacity useless -->
<TextCursorColor value="255, 255, 255, 255" />
<TextFgColor value="200, 200, 200, 255" /> <!-- login boxes text colour -->
<TextFgReadOnlyColor value="200, 200, 200, 255" /> <!-- Warnings on panels (like Pref/Voice) -->
<TextFgTentativeColor value="155, 155, 255, 128" />
<TextEmbeddedItemReadOnlyColor value="20, 20, 20, 255" /> <!-- i.e. About Land name that you don't own -->
<TextEmbeddedItemColor value="255, 255, 255, 255" /> <!-- " " " " " do own -->
<TextDefaultColor value="70, 20, 100, 255"/>
<!-- LISTBOXES: Friends list etc -->
<ScrollBgReadOnlyColor value="0, 0, 0, 100" />
<ScrollBgWriteableColor value="0, 0, 0, 128" /> <!-- Background for lists, like friends list -->
<ScrollSelectedFGColor value="255, 255, 255, 255" /> <!-- Text color, friends in friends list, and communicate menu -->
<ScrollUnselectedColor value="150, 150, 150, 255" /> <!-- Text color, friends in friends list, and communicate menu -->
<ScrollHighlightedColor value="45, 80, 20, 128" /> <!-- Hover color -->
<ScrollbarThumbColor value="50, 50, 100, 255" /> <!-- scroll bar -->
<ScrollbarTrackColor value="0, 0, 0, 255" /> <!-- scroll bar -->
<!-- MENUS -->
<MenuBarBgColor value="0, 0, 0, 255" /> <!-- the menu bar itself -->
<MenuDefaultBgColor value="0, 0, 0, 170" /> <!-- drop menus from menu bar -->
<MenuItemDisabledColor value="100, 100, 200, 128" /> <!-- Menu text color; also text color for pie menus and treeviews (like Inventory) -->
<MenuItemEnabledColor value="150, 150, 255, 255" /> <!-- Menu text color; also text color for pie menus and treeviews (like Inventory) -->
<MenuPopupBgColor value="0, 0, 50, 240" /> <!-- Inventory Pop-Up menu background color v003 -->
<!-- PIE MENUS -->
<PieMenuBgColor value="0, 0, 0, 128" />
<PieMenuLineColor value="0, 0, 0, 255" />
<!-- MISC -->
<ParcelTextColor value="40, 190, 255, 255" /> <!-- Parcel name on menu bar, normal state -->
<ParcelHoverColor value="70, 195, 255, 255" /> <!-- Parcel name on menu bar, hover state -->
<TimeTextColor value="200, 200, 200, 255" /> <!-- SL Time on menu bar -->
<BalanceTextColor value="0, 255, 0, 255" /> <!-- Linden dollar balance on menu bar -->
<HealthTextColor value="255, 50, 50, 255" /> <!-- Damage meter text on menu bar -->
</settings>
--- colors.xml ends here ---