Olympus just recently came out with a new flash that I believe is compatible with your camera...it's the FL-36. It's a TTL flash and is full featured with a bit less power than their top of the line flash, the FL-50. The FL-36 retails for $199 and the FL-50 double that, and maybe more. The older Olympus FL-40 you can get on ebay for about the same price as the 36, so I wouldn't recommend it. Might as well get the new and improved model.
An alternative to the Oly flashes are the ProMaster 5750, which is TTL and full featured. I"m not sure how much it retails for, but probably in the same range as the Fl-36. Another option, if you really want to buy something inexpensive, is to by an automatic flash, such as, the Vivitar 283 or 285HV models, which are both considered professional flashes but not TTL. They both have lots of power and have a good selection of available settings and accessories you can get for them. You can find the 283 for about $66 and the 285HV for about $80, both at B&H. You would just have to operate your camera in manual mode and set the iso and aperature on the flash.
Also, I know for certain that the ProMaster flash works with the Olympus hot shoe, but you need to check with Olympus tech support about the Vivitars. They may put out a higher voltage that can fry your camera, so be 100% certain that your camera can take them. If there is a voltage difference, then you can get the Wein Safe Sync cable, which will take care of that problem.
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