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The LED will be on after the EEC-IV receives a signal from the switch to disable overdrive. The light being on indicates that the trans will only operate in 1st, 2nd, and 3rd gears. 4th gear is overdrive.
The light will be on in all gears and all shifter positions. It will stay on until the button is pressed again or the key is turned off.
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Mark
Former Ford automatic transmission engineer, 1988-2007.
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