BUMP!
I have a similar problem with my 97 Ex 5.0 XLT that has gotten worse today. I've checked here and other online forums, not to mention other online searches. Also the Haynes manual doesn't go in depth.
Backstory-
My wife and I have a mini farm, the Ex has served us well, kept up with general maintenance, parts when needed but never did anything with the 4r70w. Bought it used 3yrs ago with a rebuilt motor-which was done horribly and/or in a rush with what I've seen outside and inside it with oil changes-, been through a few fuel pumps til the last one which wasn't an advance AP part...
ty rock auto, shifter bushing-it was tied in place with bale twine...amazed the stub never broke
most recent was new injectors, DIS packs, wires and filler neck. It's towed numerous trailers full of hay for our horses-mare had a foal 6mos ago- plus our pregnant mare last year, our move two years with multiple trailer trips and it's been an absolute champ.....til today sadly.
Past few days I've noticed a burning oil smell, opened hood and thought maybe the PCV was in need of service and on a 5.0 it's a PITA....sadly I noticed transmission oil leaking from the bell housing. Mainly work travel til we need animal feed and essentials so it wasn't leaking a lot BUT when heading over the mountain to get straw it started smelling worse from burning more of the ATF. After making the trip back to my start point which is 8mi from home, I took a pic.
I usually don't push the ex to save fuel, I've gotten 400mi to a tank before but I avg 18 to 20mpg. Based upon all that, does it sound like a front pump seal or rebuild? I've yet to check the lines and tube BUT I've seen it drip directly from the bell. Weather holds good I'll try to take and post more pics. Last time I had a trans issue was in my 88 Grand Marquis and it was a rebuild over 12yrs ago due to a dryrotted trans cable bushing at the throttle body and it cost 1400.
We ain't got a garage and me being a local coal hauler for half the day, time ain't on my side either.