I have a 2003 ford f250 7.3 diesel and the overdrive off light is flashing obd reader says shift solenoid 1 and 2 had a fault could this be reason for light blinking?

If the OD light is flashing then you have faults, it maybe the scan tool can't read the Trans control module codes.

Disconnect your battery's neg terminal for 10 minutes and reconnect it, after you clear the fault codes once more with a fault code reader.

Taurus are notorious for tranny problems,get rid of it

When the Torque Converter Clutch (TCC) isn't engaging or locks in engagement the light flashes a warning...The TCC solenoid may stick due to dirty transmission fluid...If the Check Engine Light
(CEL) is not lit have your transmission fluid changed...If it is lit the code is probably pointing at a defective TCC, Computer (PCM) or the clutch itself... you can take the vehicle to an auto parts store and have them read and define the trouble code for free...saailer

I’m happy to help further over the phone at https://www.6ya.com/expert/david_6df67de3b14de867

run the fault codes to check for OD servo/solenoid problems or a problem TCM/ speed sensor unit.

Your overdrive light flashing is trying to tell you that you have a transmission control failure. What to do about this is to scan your Powertrain Control Module for fault codes. Please note that many transmission failure codes cannot be retrieved with a generic OBD code reader. You will probably have to scan it with a scan tool that can access the data from your entire computer network.

CODE P1746 - EPC SOLENOID CIRCUIT MALFUNCTION. WHEN THIS CODE APPEARS THE ENGINE STARTED VECHICLE IN GEAR AND THE PCM DETECTED THE ELECTRONIC PRESSURE CONTROL EPC SOLENOID CIRCUIT INDICATED OPEN THIS FAULT CAN CAUSE HARSH ENGAGEMENTS AND SHIFTS. EPC MEAN ELECTRONIC PRESSURE SOLENOID.

you have a major problem in the transmission, take it to a shop

The overdrive light blinking means that a fault code has been stored in the computer, this can be for many different reasons. The car isn't actually turning overdrive on and off, it is just a way to alert you of a problem. Getting the computer scanned will provide a fault code eg. P(XXXX) if you can get this code I can help you further. -Jared