No it does not sound like the transmission is bad,It sounds like a transmission line or fitting is leaking.You can try and pinpoint the leak by cleaning all the fluids off the lines,drive around the block and park.Then try and find leak.Look at fittings at the transmission,check fittings at radiator.If you find that one is loose try and tighten it.With that many miles i would say do not use any stop leak additives.
Yes it sounds like the tranny. Possible an easy fix though. There are two line that go from the tranny to the radiator or possibly a trans cooler. The connections may be lose. There is a cheap way to fix this and that is buying the brass barbed hose fittings that will screw into were the existing line go into the tranny and get transmission cooler hose and run new lines. Or replace it with original parts. I would like to say you are probably be fine to drive it as is just make sure to keep fluid level full. But if they come completely out or break lose you will be stuck and will lose all 7 to ten quarts of tranny fluid. Also when you check you tranny fluid it has to at operating temp and the engine running. Good luck hope this helps.
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