Instead of a single light on the mast or outboard, I mounted conventional LED (non-submersible) stop/tail/turn/side marker lights on a structure that slips over the outboard's lower unit and is held on, just in case, with a bungie. Extra lights are about eye level for a little insurance against the nitwit riding my butt, or the trucker who can't see under the boat to where the trailer lights are.
They're plugged into an extension I wired into the trialer lighting, and obviously don't get used when there's no boat on the trailer. The trailer is perfectly legal from a lighting point of view, with no boat on it, so it passes inspection every time.
Oh, that 3-light bar is required by DOT (federal) for trucks and trailers over 80" wide, having lights spaced 6-12" apart, though those little bars are normally only found on boat trailers, with individual lights on most other applications. Also required are red clearance lights at or close to the widest part of the trailer, facing aft, and independent of tail/brake/turn lights (so-called 'over 80' tail light units have a separate light for this, if you look closely), and the same facing front (amber) at the widest part, along with the usual side markers. An additional side marker at the midpoint of the length is required if the trailer is over 30 ft long.
If you were going to hang a red light off the mast, I'd use a beehive style, pointed down for 360 degree visibility, but I'd put it on the outboard myself for better visibility.