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Basically, it increases the pressure in the trans and firms up the shifts. Heat is the worst enemy of a trans and the smooth shifts, that is the trans slipping into the next gear which causes heat. Get rid of the slip, means less heat, which means longer lasting trans. Always and excellent idea to put an external trans cooler on too!
Forgot one important thing, if you do it yourself, read the instructions!!!!!!!! 75% of the calls into tech was..... why did the bolts strip out???? The torque is in "inch pounds" NOT "foot pounds"!!!