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You are describing the classic symptoms of a blown head gasket from the cylinder into the water jacket. This causes loss of compression in the affected cylinder and also injects hot gases into the cooling jacket resulting in overpressure and overheating of the coolant. Perform a compression check of all cylinders and if any are appreciably lower than the others, you are looking at some major engine work.
CYLINDER 3 MISFIRING. MEANS NOT FIRING .CYLINDER 3 IS MISSING FIRE.COULD BE FAULTY OR DIRTY FUEL INJECTOR.YOU COULD HAVE BAD SPARK PLUG OR COIL AND WIRE.CLEAN FUEL INJECTORS CHANGE PLUGS AND COIL TO NUMBER 3 CYLINDER .WHEN YOU DO A LITTLE TUNE UP.THAT WAY YOU WILL KNOW IF YOU HAVE A MECHANICAL PROBLEM TO 3 CYLINDER LIKE LOW COMPRESSION.LEAKING INTAKE AT 3 CYLINDER OR BURNED OUT VALVE.
A P0303 code is a cylinder #3 misfire code. Usally a tune up, of plugs and wires fixes the problem. Normal cost is about $5 dollars a spark plug, about $85 in spark plug wires and around $100 in labor. So around $200-250 for the tune up. Then you'll need them to clear the check engine light, which may cost a diagnostic fee. If you haven't done a tune up in a while that would be the place to start. The other problem it could be is a fuel injector or a cylinder compression problem but those are unlikely. Hope this helps.
The code description is a giveaway.
It could be one of the coils on the coil pack. Most coils nowadays do two cylinders each. This way car makers can get away with one coil for two cylinders.(lowers costs) One spark fires the air fuel mix in one of the cylinders and the other will fire the cylinder on the exhaust stroke. If the coils are removable, and you are fairly handy with cars,switch two around, the problem will follow the bad coil.
Cherry red? is the car tuned? as in racing-tuned? Maybe is the catalyst that needs replacementdue to clogging, or the oxygen sensor not working properly, sending a richer mix of fuel than a lean one, causing overheating. Loss of power is because of the overheating. Check the engine temp, and fluids constantly and fix it ASAP. This behavior could lead to athermal exhaustion of the head, fouling fire in chambers, and bending valves, As I said, repair ASAP.