What's the service history of the transmission? Have you been changing 4 quarts of ATF every 30,000 miles? Have you been removing the pan every other fluid change to clean out the sediment and metal filings? -If not, I'm betting you have a load of sediment that's being pumped through the tranny (and purging the fluid does not remove all of this, you need to clean the inside of the pan too). The metalic sediment comes from the internal clutches as they wear down, and there is a magnet in the pan that's supposed to collect these. However, this magnet is severely undersized for this application. Regular pan cleanings will help keep the system running clean.

The metalic sediment not only sticks to the magnet in the pan, but also to any device that has/produces a magnetic field. -for example, the OD solenoid. It is not uncommon for OD solenoids to have clogged passegeways from clutch material that's decided to take up permenant residence in the solenoid.

Regarding the stalling, that's a whole different ballgame, and I'll let the 700 experts give their best diagnosis. However, I'd be checking the Air Mass Meter, the O2 sensor, vacuum leaks, fuel pressure regulator, Idle switch on the throttle body, and the Idle Air Control Valve (the device that bypasses the butterfly valve and lets air into the engine to keep it idling when your foot is off the gas).

Good luck and God bless,
Fitz Fitzgerald.
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'87 Blue 245, NA 220K