I have a 1989 Formula 383 (bored, stroked, cammed, and headers) after a good 2 months...impressive enough as it is that the stock 700r4 put up with it, the transmission seems to be giving up. Under heavy throttle and WOT situations the transmission seems to "hiss" loudly, i can hear it over my sidepipes...so it is a very loud hiss, originating from the underside of the car. Presumably the transmission. At light and part throttle instances it seems to shudder and miss, though not due to the engine (idles, etc fine in N) after reading a few articles im lead to believe that the 2-4 band is burnt up allowing slip, or the torque converter is destroyed as it seems that the shudder is non-existant under heavy/WOT throttle situations, but a loud hissing instead replaces the shudder. Any relevant information or personal experience would be greatly appreciated!

 

looks like the fluid is burning, smells of a pungent metallic burn, like the 2-4 band.