OIL LEVELS MY 96 JEEP GRAND CHEROKEE LAREDO HAS BEEN SHIFTING REALLY HARD AND 90% OF THE TIME AFTER ITS BEEN RUNNING IN LOCAL TRAFFIC AND WHAT NOT THE CHECK GAGES LIGHT COMES ON AND BEEPS AND MY OIL LEVER DROPS TO ZERO. MY OIL IS @ A NORMAL LEVEL......WHAT COULD BE THE PROBLEM AND HOW CAN I FIX IT?

Actually thats not the problem, the other 2 respinses are correct but having owned a vehichle like yours its the fuckin oil pump....its a piece o **** and not using case hardendened discs in the pump, theyre made of aluminum...and probably ground to hell by now! World war 2 was the best jeep but now it all market price ********..,.who knows what you got!....Drop the oil pan and replace the oil pum, otherwise torch the thing and claim the insurance!

2 seperate concerns, your oil pressure problem at idle could be debris or sludge in the oil pump pickup tube, your oil pump coul be failing, or u are losing pressure due to worn bearings in engine. worn cam bearings possibly.

fluid condition may cause harsh shift. trans fluid gets heated in traffic and may be losing some of its viscosity making shifts slightly firm.

Possible bad oil level sensor. The shifting problem is most likely unrelated.