CTD - Why would the transmission get hot on a downhill? unless that gauge was finally reacting to the heat the trans was shedding climbing that hill. (Your CTD had a non-locking TC right?)
RPM rise - You might have seen the TC unlocking and the downshift to third all at once?
I don't know about the trans logic in the older stuff, but mine will lock in the TC in 3rd or OD above 55, and stay locked until 50 with the OEM programming. most of the heat in a trans comes from an unlocked converter. The trans temp will never break 190° on the hottest day if I am able to keep the TC locked. But once it unlocks and you're putting power to it (hill, heavy load, stop & go, etc.), it'll heat up.
Easiest way to tell if the TC is locked or not is give it a little gas.. if the RPM's flare a little, it's unlocked.
My comment about it being a big assumption is just that without a trans temp gauge (which no one should be towing without), you're assuming that's why the temp is going up. could be the motor. Could be stuck thermostat. Could be a small child stuck to the grille, blocking airflow.