The "reaction shell" is a common part to break in the 700R4s/4L60s. When it goes you lose reverse, 2nd and 4th. 1st will still work fine.
Regardless of what's wrong - you're likely in for a tear-down and many, many updates if you want to make all efforts to make a "best" repair. HD shell, new 3-4 clutch pack, new sprag, oversize servo, kevlar brake-band, 5 planet pinions from a 4L65, modular seals instead of rubber rings, etc. I just got done doing my own in two rigs. A 1986 and a 1992. I had to buy two special tools that cost me $50 in total.
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Today's Featured Article - Tractor Hydraulics - The Basics - by Curtis Von Fange. Hydraulics was one of the greatest inventions for helping man compound the work he can do. It’s amazing how a little floor jack can lift tons and tons of weight with just the flick of a handle. What’s even more amazing is that all the principals of hydraulic theory can be wrapped up in such a small package. This same package applies to any hydraulic system from the largest bulldozer to the oldest and smallest tractor. This short series will take a look at the basic layout of a simple hydraul
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