So I have a 2004 jeep grand Cherokee that whenever we drive it on normal drive it redlines by the time it hits 40mph and just loses speed, but when we drive it on 2nd it drives fine I can get to speeds of 60. I just need a second opinion thank you.
I think you need a transmission shop.
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i think the dodge/jeep trans default is 2nd gear for issues. but it seems to stay in 1st gear when you use D but it goes to 2nd if you use “2”? so, your speedo is working and your tach is working. a trans shop can read codes for you
This might be simple: a sensor that screws into the side of the tranny, or its wiring. Good luck and please let us know.