What is leaking from my truck?!?!?!?

[ubtripn]

So here is the story: Just installed a 700R4 onto my 350. The transmission had been sitting in a junkard exposed to the elements for a while. I installed it and have had a small leakage issue that seems to mostly have gone away since I re-tightned the pan bolts BUT there is a substance that seems to be coming from around the torque converter area. Between it and the bell housing I think. Anyway, it is 90% water and about 10% a yellowish substance. My engine oil is darker than that right now and the tranny oil is pinkish. I cannot figure out what this stuff is. Tranny has been in the truck for over two weeks. This leak only started after the tranny swap so I would assume it has something to do with it but here are my questions:

1. What is this stuff? Could it be water from inside the tranny as it sat outside?

2. Seperate question related to the slow leak from the tranny which is pinkish and around the tailshaft area but not coming out the end of the tailshaft (just collecting there)- do seals eventually reseal after becoming wet again? Does the Lucas stop leak harm yuor transmission? Does it work?

This is driving me a little crazy, first the tranny lines were loose, then the pan bolts, now the tranny is leaking from somewhere else plus I have this waterery yellow stuff comin out at one drop every 30 seconds.

3. What do tiny bubbles mean on my transmission dipstick?

Thanks in advance everyone.