Did you bled with the engine running?

 

No engine off helper pumping the brakes

 

Sounds like there is still air in the system, and the proportioning valve isn't in the right spot.

 

How do I reset the proportioning valve? I didn't see a way to reset it in the FSM. I'm thinking that might be linked to this.

 

What I do is..... Grab a friend, park friend in drivers seat. Have them pump up the brakes, and hold pressure. Crack open a rear bleeder. Do that a couple times, see if the lite goes out. If it doesn't, do the same thing on one of the fronts. 99% of the time, one end or the other will re-center the valve, and things start working as they should.

 

I only cracked each one open 3 times until fluid came out. What I'll do is rebled each wheel again a few times.

 

Well found out I'm getting fluid too the rear wheel cylinder just none coming out the bleeder so going to replace them, already got them. My ABS light may be on with the BRAKE light because the ABS light didn't light up on startup. FSM said 74 bulb but it turned out to be to small.... So back to the parts store a two hour drive

 

Maybe I am out in left field here, but on mine (I have a 98 1500 4x4 that I am fixing and a 2000 parts truck). Both have an ABS system outboard of the master cylinder and shock, and the pipes from the master cylinder and prop valve go the the ABS.

In the picture you posted I don't see the ABS.
Did someone remove the ABS and bypass it with those lines that look to be "home grown" between the master and the proportioning valve? It would seem possible that could cause the signal light to be wacky.
Also, if the lines are actually copper they do not have the strength of the SS ones and over time will stretch/bulge/split or do other things that are sure to result in brake failure.

 

No it has it it's just below my master cylinder (mounted on the side but is below the prop valve so iit' hidden like) well when I went to change my wheel cylinders it looks like the lines had a pin hole in each line going to each rear wheel. It must only leak though when ordering the brakes hard, well had to replace them anyhow because the ends going into the wheel cylinders twisted of with the nut.

 

You probably have 4WAL, and I think the pics are of a truck that only has RWAL.