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The fluctuations are due to electrical resistance. The cluster has a 20 ohm resistor in the circuit to put the needle in the normal range, making any additional resistance at the connections move the needle around.
So the resistance at the connections is varying daily as I drive? Sounds like a bad solder connection but I've had an 87, 89, 90, and 93 and they all _appeared_ to be working.
My '94 jumped around within a range for no apparent reason. The push-on connection at the sending unit is one possible trouble spot.
Since it is NOT a real pressure sending unit, as long as it does not indicate zero, you have oil pressure. I know this is hard to stare at it while driving and mentally accept what is really going on. The only real fix is to jumper the resistor and install a REAL pressure sending unit. Except for some passenger car models, Ford did this from about '87 on.
Buy a "real" mechanical gauge. It'll have numbers. There's a concept. It'll read real-time and respond very quickly. Ground the wire for the stock sending unit or the check engine light will stay on.
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