Overfilling can cause weird things,the fluid will foam and air trapped in the valve body can cause shifting troubles...usually if it is way overfilled the excess fluid gets peuked out of the vent on top of the case though..
There are troubleshooting charts online that list many symptoms,yours are slipping in first on takeoffs,and no "engine braking" if you manually downshift into second or first ?...I dont have my books handy but I think a band and or a servo problem can cause that,also an "overrunning clutch" or one way sprag ,if I remember right..
Many troubles can be caused by a filter being clogged ,or just the vacuum modulator not getting enough vacuum,being hooked up wrong ,so it gets ported vacuum instead of manifold vacuum,or the diaphram inside it ruptures and lets fluid get sucked into the engine,and it wont control the shifting properly...might as well start with the easy and cheapest things first..
Greg Ducato is the man here to talk too,he really knows his stuff..he helped me with my diesel's TH400 ,and sent me a modified govenor to make it upshift sooner without the vacuum pump that runs the modulator working well..I would ask him !..