Cold fluid level?

The level should be at least at the "add" mark when the engine is running, in neutral, and cold. Generally, the fluid level will be quite a bit higher than the full mark when the engine is not running and cold. This is due to the converter draining back.

I have read two different opinions on this. The first is what you stated essentially. Once the transmission is engaged and working it will pump fluid out of the pan and give me an accurate reading. The other states that fluid will expand when it warms up which can cause the level to increase when running.