Zibs,

You may have so much play on the input shaft that great amounts of fluid flow back into the pan from the torque converter. All transmissions have this, but only rise a fraction in the pan.

The seals are just getting hard, and the clutch packs cannot pressurize as it gets warm or hot, so the transmissions shifts delay to the point where they will slip. Consequently, All of this is a clear indication for a rebuild .

Martin