I have been working on more LEDs for a project for a friend. Here is my desk how I have it set up.
A list of the tools I use that you can see in this picture are. I use a helping hand stand to hold a pair of spring tweesers that hold the LED. I have a magnifine light that I hold over this to solder the 38 guage magnet wire to the LED. I set my soldering iron to 450 with my fan running to suck up the smoke from soldering. (black thing the loco shell is leaning on). I have started using no clean tack flux from chipquik (smd291). All of these have bee purchased off of Amazon. The LEDs came in a package of 100 that I purchased awhile ago from ebay and came from China.
In this photo I have glued the LED to the back of the lens from the loco. I watched many videos on youtube on soldering SMD LEDs.