'97 Jeep Grand Cherokee Transmission issue

Transmissions are hard enough to diagnose or work on in person, let alone to do it over the internet with barely any info on problem. Also ATF level has to be right on the money, not too little, not too much, and tranny has to be at certain temperature, if it's cold the fill level is different. Without knowing what the line was that was busted (tranny line to cooler?) you're asking for trouble to keep driving without that being fixed. Smoke from tailpipe is an engine problem and not a tranny problem, so you have at least two things going on. Not to be a downer, but at 230K miles, your tranny (and engine) might be on their last leg.

Could be your front pump seal leaking the fluid out. If so it will be coming from the bell housing area. You can tell the difference between transmission fluid and an engine oil leak. Smell the fluid and check the color. The exhaust pipe crossover passes right under the bell housing on the transmission and this might account for the burning fluid and smoke.

I don’t know much about cars but it’s happened to me and it was bacause I didn’t have transmission fuel

my husband put fluid in make the 1997 jeep change out but not when drive on the highway