I play a hunter/thief as well and I have to say level up one handed axes as well.

Not only dose it help when you have a up-close battle but if you were living off the land you would be quite handy with a axe anyway from all the woodchopping and things.
Or you could go with a dagger claiming that years of killing, skinning and prepairing animals has made you quite handy with a small blade.

Either way it not only comes in very handy when your bow isn't an option but its easy to explain in a RP char

The character you describe is what I plan on doing my next play through. I envision him as a Ranger, living off the land like you said.

Here are some of the skills I think would make a great Ranger. I didn't include all the skills you might need, just some of the good ones.

Archery - Overdraw, Eagle Eye, Critical Shot, Steady Hand, Power Shot, Ranger, Quick Shot, Bullseye
Sneak - Stealth, Muffled Movement, Deadly Aim, Silence
Alchemy - Alchemist, Poisoner, Concentrated Poison
One-hand - Armsman, Dual Flurry (maybe)
Light Armor - Agile Defender, Custom Fit, Unhindered


I would use poisons as much as possible, light armor (obviously) and daggers as your back-up weapon. Daggers are the closest thing to a hunting knife that I can think of. Maybe an axe just in case you have to chop some tress down to make a shelter when out living off the land.