Two or three potential causes here. The main issue is probably within the pump housing itself. If you have a Ford 8N book, they sell at most new holland dealers or tractor supply have them also, then there is an awesome diagram of how the flow works on your hydraulic system.
The likely culprit is a sticky piston inside the housing that when it is closed, builds up pressure and moves the lift upwards. The piston then is releases the pressure when the hydraulic lever is lowered, then the weight of the implement will draw this down.
Check your oil... If the fluid is milky, drain all 3 plugs on the underside as the same fluid runs all items of the transmission, pto, and differential. Drain this all out after running tractor and pto 20-30 mins and do it immediately afterwards. Caution** oil will be hot, but this will allow sediment to be stirred up and drained more effectively. Replace with 90w mineral oil at 4.75 gallons...but no more than such as will leak out differential onto brakes effectively stopping their use.
Replacing the oil if compromised to rise up and down more freely and with more pressure. The pump will the push more flow through the system, there for pushing piston out and releasing the pressure.
Checking the sump of the pump also is good idea. If the pump is not pumping well (such as they are slow to rise or cannot lift much weight) then it is likely due to sediment in the sump of the pto pump which can easily be accessed through the side covers and cleaned after draining the oil.
I replaced my compromised oil and the lift did hang up a couple times, but the pump likely had sucked up some small debris and plugged one of the pistons after cleaning. After running the equip for 4-5 hours after this happened, it has never had any issues, and it actually lifts 10x better as in speed, and in the amount of weight that can be lifted.
Good luck, and let me know if i can help any further!!!
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