See my profile, My Dad's 1986 3.8 L T-Bird had same symptoms----May or May Not be your fix!
Remove the distributor cap, see if you can GENTLY FORCE the Rotor Button (and its shaft) to turn with your FINGERS!
If it moves, Significantly, the ROLL PIN, that holds the Cam gear, on the distributor shaft, is probably "SHEARED"
You will pull it out and it will look FINE!
In reality---you have 2 short pins on either side of the GEAR-----and 1 inside the shaft itself.
It puzzled me for a while, but we got it!
I've heard of 2 other Fords with same problem.
Like I said, May not be your problem, I have no other things to offer----I am a Jeep CJ Kinda Guy!
Give results
Love, Turddog
May 6, 2010 at 10:47 PM