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1) a good synthetic tranny fluid; Amsoil ATF, Redline D4ATF, Royal Purple, etc.your choice. This will help smooth out the transmission.
2) I think shifts are missed because of the rubber isolation bushing in the stok shifter. Either modify that stock shifter (search for info on the forum, the topic keeps coming up) or buy a B&M, Hurst, etc. I don't drag race and found the B&M return springs too stiff for road track work, but I understand that many drag racers love it.
You have a Hurst shifter, and I'll guess your friend has a stock shifter. The stock shifter has a rubber arrangement in the shifter shaft that smooths out the FEEL of the movement from one gear to the next, whereas the Hurst lets you feel exactly what is happening in the linkage. The C5 linkage is inherently notchy. So, if you want smoothness, go back to the stock shifter. If not, stick with the Hurst, and just learn to to work with the side to side spring load to avoid missed shifts (your T-handle makes it easier to miss gears). The Ripper and the BPP short shifters feel the same as the Hurst with respect to notchiness.
I keep missing 3rd in my 00 FRC. I just ordered a hurst shifter hoping this fixes the problem, I hated the feel of the shift from day one. Also a trans fuid C/O is coming.
:seeya