1981 300SD transmission problem ??

Yesterday my SD suddenly started not shifting beyond second gear. In addition, it remains in 1/2 regardless of where the gearshift lever is placed, including reverse, but does not lock up the drive train, i.e., it is not actually shifting into reverse. As a result I am surmising that this is a valve body issue rather than a gear train one. Has anyone experienced this before? If so, what was the solution?

Thank you in advance

Conrad Blaschczyk

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