I would unreservedly recommend the Taig Micromill with the MicroProto Systems CNC controllers. Well priced and very rigid (a key to accuracy and repeatability) with over-engineered bushes and fittings. Get the ER16 collets for compatibility.
Forget the LazyCam software that comes free with it, but the Mach3 controller software is very good. Dedicate a reasonably fast computer to controlling the mill and connect it by a network to the machine you do the CAM design work on, which should be the fastest and most powerful machine you can afford.
Get yourself a good CAD/CAM package for engineeering work (I use SolidWorks with the SolidCAM plugin - works well and produces good toolpaths) - don't waste much time with the wizard based cam tools (like LazyCAM) unless you are doing very casual stuff. They are easy to get some basic output from, but fine tuning that output can be almost impossible and I never managed to produce anything I was really happy with.
I have also recently been trying out ArtCAM for non-engineering designs. It is a different approach to modelling: instead of building your models with technical drawing constructs, it is more like being an artist. For example there are tools for 'smearing' and 'chiselling' and building up the surface with blobs of material ratehr than extruding up from a 2D line drawing. It comes with a great library of 3D relief models (eg zodiac signs) and can be optimised into a jewellery mode. I am not completely happy with the toolpaths yet but it is just a matter of learning the package to get the best from it.
You could even produce a 3d engineering model in SolidWorks, and then import it into ArtCAM where you can decorate it, with say a celtic weave pattern and some fancy engraved script wrapped around the surface of the model.
Whatever you do, be prepared for a reasonably steep learning curve.
You can always tell an engineer...
... you just can't tell him much :-0