I have a 1995 Jeep Cherokee 4.0l with a AW4 transmission.  It has been giving me slight trouble for a few years now but its not been overly persistent.  It has got a lot worse here in the last month, and I am afraid its going to go if I dont do something.  While driving it will all of a sudden  down shift, and then stay in that gear.  It feels like you are stuck in 3rd gear.  If I stop and turn the vehicle off for a minute or so it usually fixes itself and doesnt bother me again for a li while.  Well its been getting worse, and I was having to do it every time I started to drive somewhere after it had been sitting for a few hours or more.  It also sometimes feels like its stuck in 1st gear and wont shift.  It takes a lot of revs just to get it to 25 mph, but if I go down hill it will roll faster, but I cant push the gas to maintain the speed.  I had a crankshaft sensor replaced a few years ago, but I cant remember if it was for this problem or not.  Please let me know what you all think, and I can provide more specific info to anyone who thinks they can help.  Also if it matters the 4wd stopped working about a year ago,but does not effect the driving.

Thanks,
Rick  

those are really pretty indestructable trannies, you've probly got an electrical or sensor issue, impossible to trouble shoot w/out replacing every sensor and trans computer. unless someone has seen the prob and can point u in the right direction. talk to a shop, maybe 1 that specializes in jeeps or imports as that trans is import,they usually charge you 1/2 hr diagnostic time  

This probably wont help much but I will touch base with you anyway.  I have been having what sounds like the exact same problem.  Everything goes fine until about 65 mph and then the tranny downshifts out of overdive into 3rd for no reason.  It is as if it is confused in what gear to stay in.  So far I have tried to solve this mystery myself because I am convinced that the problem lies somewhere other than the tranny. Here is what I have learned so far...From what I have read on forums and in the overhaul manuals it could be one of a few things.  Throttle position sensor, MAP sensor, TV cable, Transmission Control Module,shift linkage and perhaps a few others I cant think of as well as things that are way out there like the brake pedal sensor. The good thing is that if it is a sensor, the check engin light should come one and store a code, (mine does not). By the way, to check codes, turn ingnition on, off, on off, and then on and count the ammount of times your check engin light blinks.  If it binks 5 times , pause and 5 times again,your computer has stored no fault codes which leads me to assume that all of the sensors are working fine and makes this problem very difficult to solve.
Thus far I have checked and found no luck with the following.  TV cable, Throttle position sensor, fluid levels, Gear select linkage and brake pedal switch. I was even told to put that Lucas gear oil in my tranny but I refuse to go there yet.
You did not by any chance install a remote start did you? I thought that might have had something to do with it too.
If I figure it out Ill post back.  

lucus does have a tranny additive that is great for hard seals, don't use gear oil in it, It isn't and old ford c-4 or c-6. the gear oil will only help the govenor get plugged.  

Good news is of all the trannies, these ones litter junk yard floors. The reason being there were lots of cherokee's built and the trannies are pretty tough. Usually these are one of the cheaper trannies at the yard. Find a good honest shop and let them look at it. Sometimes there are simple fixes. DO NOT TAKE IT TO THE DEALER. THEY LIKE TO MAKE BIG BILLS, SO YOU WANT TO SHOP FOR A NEW RIDE. Word of mouth is usually best advise for finding a reputable shop. I was at a shop one time when someone brought in their car with tranny problems. The local dealer told them $2000. The honest mechanic found a broken wire. They had the car parked a while and a rat had chewed it. Cost to fix $50. Finding a honest mechanic, priceless!!  

That is why I am trying to diagnose the problem myself, or at least be sure its not a sensor or wire before I resort to bringing it in and preparing for the worst. All of the symptoms suggest an electrical problem. The issue is too sporadic to be mechanical failure on top of that, there is no grinding or noises to speak of either. I will  let the tranny blow itself up and fall out before I take it in for a new one and get ripped off.  

you could try disconnecting the battery for 10-15 mins. and make sure the terminals and posts are clean, is your speedo working?  

Yeah speedo works fine, but I will try the battery for the heck of it. What could it hurt.  I wiggled the wires around the tranny control module yesterday and so far no problem but because its intermittent its hard to tell if anything works.  

This is Good site for self help pages 2 and 3.
http://www.transonline.com/transdigest/magazines/1997-10/Shift%0Pointers/index.html  

My 1990 Cherokee Laredo (4.0 w/ AW4 tranny) has a similar problem.  It downshifts when I ease off the gas, mainly when there is no load being placed on it.  While on a highway (65mph) or near home (20mph), it downshifts strangely as I ease off the throttle to maintain my speed going downhill.  Sometimes are worse than others.  I'm thinking it happens when the peddle is around 1/4 or 1/8 depressed.  I have looked around the Web-- I wondered if the TPS is bad, but I've heard that that tends to cause high idle RPMs and stalling also (which mine doesn't do).  Mine had a remote start but it stopped working; it was installed 5 years ago but this problem has arisen in the past 4-5 months.  Any help is GREATLY appreciated!  

My 93 Cherokee stopped shifting right and started going out of gear completely. I had the tranny rebuilt but it still wants to go out of gear after short drives and a stop. However as with your Jeep stopping the engine and restarting it seems to clear the problem for a while.  Like everyone else any help is appreciated my mechanic is stumped and never does it when he's driving it.  

My thoughts drift to the valve body. You may not be getting suffcient pressure to shift out of first. Have you had your transmission serviced recently? You might not have enough trans fluid. Take a look at your valve body or the governor. Aw 4s also have electronics like some of the others have said you should get those checked out as well  

well I have some good news and some bad news. the good news is. I'm prety sure I know what the problem is. the bad news is, its not a jeep thing its a chrysler thing. I encountered the same type of problem with the boss's car. its was a 95 chrysler cirrus. what it would do was you'd be driving down the road and all of a sudden it would shift down into first gear. we thought it was the tranny so we replaced it and come to find out that didn't fix are problem either. we eventualy traced it back to the tranny computer. its an expensive piece but their out their. I believe they called it something like the tranny control module. its under the hood and its right kinda in front of the air box. ask jeep about it before buying it because I think it was like $250 for the rebuilt one and like $400 or so for the new one. hope this helps let me know.  

hey! ive been having this problem for about 2 years. and today im going to a salvage yard to buy a low mileage tranny and swap it in. and if thats not the problem im gonna start with the transmission control unit.  

Well in a nut shell I have had the exact same problems.  Tanny guys told me that the transmission had absolutely nothing wrong with it and had no idea what was causing the problems.  The tranny shifts great when the computer is disconnected.  I have had the cable adjusted, shift solenoids replaced. service done and TPS replaced.  I guess that leaves the TCM and the ECU.  If anyone has any other suggestions I wopuld love to hear them.  Thanks