I just bought a 1997 f350 460 with 84,000 miles. When I put it in drive it wont shift out of first gear. If I shift manually I can get first and then second and they both work fine, if I go back to drive to hit third it goes into neutral and doesn't re-engage until the speed drops and then it goes back into first. atf looks fine and doesn't smell. Perhaps sight unseen internet auctions are not the right way to get a good deal...

 

Moved to the Clutch, Transmission, Differential, Axle & Transfer Case forum.

 

Could be a valve body, solenoid, or direct clutch. Does reverse work? Reverse also uses the direct clutch.