Gear Selector issues

Ive got a a 99 S-10 engine code w with 4L60-E trans and touch drive 4x4. Its got just over 135000 miles on it. I just bought this truck and have been fixing all the little issues that have come up. Im noticing that when I try to shift into D sometimes it will not register or read as 3 on the dash. So I played with a little and found that if its in the 3rd gear position (counting notches) it doesnt read any gear. All other gears read fine. Just the drive and 3rd notches. Also noticed it wont start in neutral like it should. So Im thinking its either a park/neautral switch or it needs adjusting. Any input would be much appreaciated :2cents:. Oh and its a new name but not new to AF. Ive done all the forum searches and still looking.

The neutral safety switches have a tendancy to fail as the heat from the transmission gets to the internals of the switch. There was a TSB on these about the actual connector(s) to the switch melting and causing problems. THis sounds like it is a switch problem, or it needs adjustment.

Thank you much. I would have never thought to look up anything for the connectors. Hopefully Ill get to lloking after the holidays.