Yes, to have alternating ditch lights, each light needs to be wired to a different function output.It the function settings there is usually an option for a "phase a" and "phase b" so you would set one to be A and the other to be B, that way they alternate, when one's on, the other is off.
--Randy
Modeling the Reading Railroad in the 1950's
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I must first apologize if this question has been asked (nunerous) times before. I am working on a project that requires the ditch lighs to alternate. Am I correct in wiring the LEDs one to the F5 pad and the other one to the F6 pad? Again sorry for this repetitive question......many thanks.