Yes the brake switch will turn off lockup after it has locked up while cruising. It will not cause the converter to lockup when put in gear. 1st or reverse gear lockup is not possible unless there is something mechanically wrong with the transmission. And yes they did still make 3 speeds in 92.

"Follow me the wise man said, but he walked behind"


'92 D250 Club Cab CTD, 47RH conversion, pump tweaks, injectors, rear disc and hydroboost conversion.
'74 W200 Crew Cab 360, NV4500, D44, D60 and NP205 divorced transfer case. Rear disc and hydroboost conversion.
2019 1500 Long Horn Crew Cab 4WD, 5.7 Hemi.