Sounds like the trans tstat may be stuck closed. It cuts fluid to the cooler by up to 90%. You will need to diagnose to confirm, but you will also need new fluid as you its likely cooked due to the temps. Bad news if it is the tstat, its in the pump housing in the trans. Its a lot of work to get to it and replace it.
Easiest way to check is to check the external coolers temp with an IR gun and see if its anything close to the actual trans temp.
Jason