Annoying,False "O/D Off" Light Flashing

Well like most everyone with a 2003 Ford Explorer,I'm dealing with transmission problems.I have a 5R55S that had a P0741 with a 2-3 shift flare and an "O/D Off" light flashing with the "check transmission" light coming on.I pulled the pan and found the O/D band strut holder broke off the band.Boy there would have been an ideal place for a flex band.Well I replaced the band.Put a Transgo kit from Gil Younger's company in the valve body.Got a new shift control solenoid assembly and a rebuilt converter.This trans has never shifted as smooth as it does now with the exception of a noticeable,hard engagement from 1-2 with no throttle pressure.I can live with that.
My problem now is that I still have the "Light Issue".After a few miles,a bell will chime.The "Check Transmission" screen lights up and the "O/D Off" light will start flashing.The O/D is still working because I can push the button on the selector and the RPM will jump to 2100 at 50 MPH and it will drop back to 1500 with I push it again,all with the O/D Off light still flashing.I can push the reset button on the dash and the screen goes out but the O/D Off light still flashes.I can start off with it out of O/D and still get the same results.I can shut the ignition off,restart the engine and it will go several miles before it all starts up again.I drove the Explorer with a scanner on it before I pulled the trans and it said torque converter clutch slippage (P0741).That's why I replaced the converter,the solenoid pack and done the valve body upgrade.It appears the the shift flare and the O/D light flashing/check trans screen were not a related issue.I haven't found ANYBODY that can tell me what's causing the "False Signal".Is there anyone out there that's conquered this issue?????? Thank's for you time and your concern R.D.
P.S.I'm about ready to pull the bulb out of the dash but I'm not in the mood for that right now.

Are you using a professional scan tool and accessing the transmission system specifically, or a consumer-grade scan tool that is only able to pull powertrain codes? Codes related to slippage could be as simple as a speed sensor issue, but you'll need to professional scan tool to monitor the speed sensors real time as well as pulling transmission-specific diagnostic codes.

-Rod

Rod;I have a Matco Pro Scan Plus scanner now.It appears that I still have the P0741.I'm going after the sensors now and see what that brings up.

Well I've spent all the time and money on this transmission that I'm going to.I read the numbers from the scanner on all three sensors in the trans and the one in the rear end.I replaced those in the trans and the light and screen still come on.I got the same numbers from the scanner with the new sensors that I got with the old ones.I had the computer reprogrammed and the updates installed by the Ford dealer.Still have the same results.I noticed that the scanner showed the "vehicle speed sensor" to read 62 at 40 mph on my speedometer and 80 at 60 mph.The Ford certified mechanic thats helping me said that is not right and to replace the sensor on the differential.Well I put in a new one and still have the same numbers from the scanner with the new sensor and the light/screen problem still happens.The trans works fine and no one seems to be able to step and tell me what's up with this rig and I've talked to some of the biggest and best in transmission business so we're going to drive like it is and NEVER EVER buy another Ford product again.I GUARANTEE.R.D.

Have you looked at the wiring on the gear selector? I have seen a few chafe the wiring and cause the light to come on.