I just rebuilt both of my TRS MercTrans Transmissions. Took it out for testing and both trannys are running hot, especially the port side. A light amount of smoke was coming from the port side vent off of the tranny, pulled the tranny stick and smoke was coming out of the resevoir and the stick was smoking. It had actually too much fluid on the reading and it was a fair shade of red, not brand new red yet not black either. The water temp gauges are running cool on the dash on both engines. Can anyone tell me what could be the problem??

Maybe bad impellers??? Like I said, the tranny's were just rebuilt.