Best guess, is that the seals of your 3 point hitch are failing. They are internal (inside tractor rear end housing, below the seat), if I remember correctly. It could be your hydraulic pump, but I don't really think so. If you look that model up online, there should be exploded drawings that might help you to determine in it's internal, or something that can be fixed without much disassembly.
Ford 1620 hydraulic issues
I have a 94 or 96 Ford 1620 hst that when I lift my shredder or my blade on my 3 point in the rear it bounces and won't stay in one spot any help and tell me what I can do to fix it
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