Sorry many you're just so off base. Mouse up, over, down, etc. are all the exact same functions you can apply to javascript and css, etc. And while sometimes a little odd, they generally work.
Pull down menus for example are often a mouse over. On the iphone, the first click is a mouse over. The second click is a mouse down. Mouse up is when you take your finger off the screen, no different than a mouse down.
Most likely for flash video, it would work just like QT anyway. It wouldn't play in the browser, but an independent flash player app that might even support different gestures to address your video playback concerns.