The dipstick that was in the CJ7 when I bought it looks like it may be way too long. The fluid level shows that it is way over full. So I went and bought an official TH350 dipstick and pulled the trans pan to change the oil and filter. The new official dipstick (not the new tube) I put it in the old tube and it doesn't even reach all the way to the bottom of the dipstick tube.

So my question is. Is there a gearhead out there that can tell me exactly how far down the dipstick should protrude?

Should it just touch the bottom of the trans pan when fully seated?

Should it just barely protrude from the tube?

Help me please. I thought about removing the old tube but it looks as if the previous owner put a (lot) of a black goopy substance around the base of the tube where it mounts to the trans. (probably to stop a leak)