I have an auto meter trans temp gauge that reads up to 250 degrees. After about 10min of driving, the needle is buried past 250!!! This is just regular, cruising in town driving. I suspect that's not the correct temp, but not sure. I have a th400 with a 3600 stall. The temp sending unit is installed on the trans cooling line leading to the cooler in front of the radiator. Here's a pic of it's location...

Any suggestions what may be wrong? I understand that a sender in the trans pan is best, but I still shouldn't get this kind of reading. I'm trying to locate one of those digital temp readers that you just aim. If the gauge is accurate, what do I do to fix the temp problem? If it's not accurate, is the sender bad? Too close to my engine block or headers? I'm puzzled.

Any suggestions what may be wrong? I understand that a sender in the trans pan is best, but I still shouldn't get this kind of reading. I'm trying to locate one of those digital temp readers that you just aim. If the gauge is accurate, what do I do to fix the temp problem? If it's not accurate, is the sender bad? Too close to my engine block or headers? I'm puzzled.