I checked my fuel pressure and found that I had 38-42 psi at idle and when I pinched down the return line the pressure spiked up to almost 70 psi. I took it out for a ride and ran the fuel pressure guage out from under the hood so I could view it while driving. The car acted up as always...but the fuel pressure remained at near 40 psi. I am sure I can rule out any kind of fuel pressure issues.
I also replaced the plugs and wires with Subaru items with no luck.
I talked to another shadetree mechanic about this problem. He suggested that I may have a problem with the torque converter locking up too soon. If the torque converter (tc) locks up at a low rpm it would cause the engine to bog down. It would also answer the question as to why the car accelerates hard when under full throttle (the tc would unlock).
Is there a way to run the trans with the lock up portion of the tc permanently unlocked?