Phil, if I may, where are you located? The fluid in your PTO cap (I'm amazed that it actually has one on there) is rear axle grease. It simply means the rear PTO seal is leaking. The fact that it's milky indicates water contamination. This could be from the rear axle itself or from water mixing with the leaked oil in the cap. I'm betting it is time to change the lube in the rear axle. As a matter of fact, if you haven't changed any of the fluids except the hydraulics on a new purchase, it's likely time to do it. The hydraulic reservoir is sandwiched between the transmission and rear axle. Thus there is no possibility of it getting to the PTO cap. This brings up another question: Is the transmission oil level up to place and is it clean? The transmission is a separate reservoir. Its lube and drive pressure oil is all contained within itself. I know nothing about inductive tachs. The TC lever probably moves a quarter to a third turn. John's question about whether you can move the tractor with the engine off is valid. If you can do any more than slightly rock the tractor with the engine shut off, you've got a TC disconnect or other problem. I have known SOS mechanics to miss the slot in the coupler when replacing that side cover. After a little run the coupler just slips off the shaft. COULD THIS BE YOUR PROBLEM? If it is, you'll need to remove that side cover and get the lever and the coupler in sync. You may need to pry the coupler loose from it's disengaged position if this is your problem. If it became uncoupled under pressure it will likely lodge itself in the disengaged position tight enough to need more than the little lever to move it. Since your PTO is working, we can likely rule out the torque limiting clutch (TLC). Although it may be possible for it to pull a no load PTO and yet be slipping enough not to drive the tractor. We can also likely rule out your shift cable since you notice some variation of transmission/engine noise/RPM in certain gear ratios. If all this fails, you'll need to get out the guages and check the hydraulic pressures at all 3 bands. There is a how to flow chart in the service manual for this. Which brings up a final point: If you do not have both an operator's manual and a service manual for your tractor, you really should obtain originals (or a copies of) both Ford owner's and service manuals. Let us know where you get from here.
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