Smoke coming from Transmission overdrive cable area

The erratic jumping in and out of overdrive (O/D) on your 2006 Terrano 3GMR with a 3.2L engine could be caused by a few different issues. Here are some possible causes and fixes:

1. Faulty speed sensor: The speed sensor provides input to the transmission control module (TCM) to determine when to engage overdrive. A faulty sensor can cause the TCM to think the vehicle is going too slow or too fast for overdrive engagement. A mechanic can test the speed sensor and replace it if necessary.
2. Low transmission fluid level: Low transmission fluid level can cause the transmission to shift erratically or not engage overdrive. Check the transmission fluid level and add fluid as necessary. If the fluid level is low, it's important to also check for any leaks that may be causing the fluid loss.
3. Worn or damaged overdrive band: The overdrive band is responsible for engaging and disengaging overdrive. If the band is worn or damaged, it may not engage properly. A mechanic can inspect the overdrive band and replace it if necessary.
4. Transmission control module (TCM) issues: The TCM controls the shifting and engagement of overdrive. If the TCM is malfunctioning, it may not engage overdrive or cause erratic shifting. A mechanic can test the TCM and replace it if necessary.

It's recommended to have a professional mechanic diagnose and repair the issue, as the transmission is a complex and vital component of the vehicle.

Overdrive.

Unless you're towing something, or maybe if you're going up a hill and the transmission is 'hunting' for the proper gear. You could temporarily pop it out of OD until you get to the top of the hill.

Overdrive will allow the motor to spin more slowly, thus burning less gas.

This could be caused by a variety of things.....but, coolant temperature is a significant input to the transmission control module for the overdrive gear engagement. If the transmission ECU determines the engine is not coming up to operating temperature, it will delay the engagement of the overdrive. There is also the possibility that the throttle position sensor has an issue as well....is the check engine lamp illuminated??? A scan of the engine control module and the trans module is in order....a good tech. will be able to discover the cause very quickly!

ok first check cable to transmission to make sure it is properly adjusted, Does it lock into park ? (ie does the parking cog engage and hold the car from moving) If the park cog does engage the I suggest rebuilding the transmission as the band inside the transmission may be worn and welded to the drum.

I have a similar problem... No overdrive.. Will only work with a computer reset...disconnect battery... then overdrive works but eventually reverts back to no overdrive.... Computer based problem... My transmission was checked fine

first thing to check is transmission oil level and quality. If that is fine than your looking at either a valve body problem (valve body is what controls the selection of gears) or possibly a problem with the bands on the planetary gear set, they can be tightened in certain models. However i dont think it is the bands.
Does the overdrive only engage 4th gear? or does it feel like the gear ratios are different between overdrive and normal before the problem happened? some overdrive buttons engage final gear and some do as much as change gear ratios like in a cvt (contantly variable transmission) and some just change the timing in the gear changes to provide more rpm/power.
My best guess is that the valve controlling the overdrive in the valve body has failed and therefor you dont get a response from the transmission (i.e no gear shifting when overdrive is selected)

Don't listen to that guy, he doesn't know what he's talking about!! I have an 85 Celica with the very same issue. I was told it could be some kind of temperature sensor that may not be working properly. There is a sensor, I was told in the exhaust line that indicates that the car has reached operating temperature and until that sensor is tripped, it will not activate the solenoid that allows overdrive to engage, it could also be that solenoid malfunctioning, or maybe a fuse or the switch that turns on the overdrive malfunctioning.. I would check those things first before you go thinking the trans is having issues.

Btw, I’m available to help over the phone in case u need at https://www.6ya.com/expert/keith_1e46710d649c2ed7

When the car is just cruising along at approx.50+ MPH push the O/D button. You should feel the gears change higher and if you have an RPM guage then it should drop as well to fewer RPMs. This would be normal driving conditions. O/D will not kick in until the last regular gear (3rd or 4th depending on model)  had been shifted into. O/D automatically kicks out when slowing down and the transmission shifts to a lower gear. Thus the O/D has no function at slower speeds/gears and does not need to be shifted ( on or off ) except in the very first example given here.

Hi Joe, what you need to do is go to a trans. shop and have them adjust the TV (Throttle Valve) cable. You can do this yourself but you need a really low PSI guage. When the line pressure is at 0 - 5 PSI, it will be adjusted properly. Usually only trans. shops will have the proper tools to do this. It's very important that the TV cable is adjusted right on the money or you'll smoke your transmission.

Hi. 2005 Corolla CE. It's normal. They tend to do this when upshifting form 1st to 2nd gear. No timing chain readjustment needed.

96 Corolla. Overdrive not working properly, if not engaging after 45mph constantly. If driving on the city, is normal, but not after 45mph, when the car is trying to engage overdrive in order to save gas and preserve the trans gears. If not able to get help at the dealership, find another one and explain them the situation.