1993 240 wagon - no maint history; apparent major neglect of all; bought 1 1/2 yrs ago on ebay. Have since drained and filled auto trans 2x (each time it was drained and filled twice) - obviously still not red color w/ lots of old fluid left in car. Trying to makeup for poor car care in past & want to ensure trans safety/lifespan. NO trans problems at present except for occasional stick at low speeds - prob the trans cable.

1. Can "bleed"/refill trans fluid 1 qt at a time - told after capacity or 1 qt more that fluid should be red. Recommended for 3-4K miles, then repeat, then all ok. (per Volvo enthusiast - use metal drain by radiator)
2. Any harm from this old car running 100% new fluid vs. mixed new/old it's been used to (don't know if ever flushed - just know the drain/fills I did)? Local $$$ Volvo-only repair said new trans problems (NONE at present) can occur or be revealed.
3. If I go ahead w/ the "bleed"/refill, manual says Dextron II D - now there's a III made by Valvoline - ANY recomm to keep costs down, maintain quality and do with mindset that after 4K miles it will be done again?

Thanks!