I think the converter is fine. Do you run a power adder? 3.50 is not a lot of gear. Also, if you are running a hydraulic roller your cam is pretty big- thats not going to be a problem. The only problem I see is the 3.50 gear. While that's not terrible, its about the smallest gear I'd put into a race car. I'm going to assume its a race car @2700 lbs and a 10" converter. The other thing is the engine. If you are running a big inch motor your set up is perfect. If you are running a "hot" 289-302 I think that you need more gear. How about more info? Carbed...injected???
This is my 'fun' car...no race car....just something to cruise in once in a while. I am building a potent NA carbed 347 that should make close to 500hp. (Ported TW heads, Vic Jr intake) The 3.50 gear is in there because I will be driving it on the street and on the highway and I really didnt want to cruise at 3500+ rpms. The rearend is a Trac Lok 9"
Why a 3000-3500 rpm stall converter then? All you are going to do is overheat your transmission everytime you drive. With a converter that loose the tranny will almost always be slipping unless you drive @ around 3000-3500 rpm. Thats how they work. I don't think your transmission is going to last very long. You should have 4.10's for set up like that. For a non-race street car you should have a 2000-2200 rpm 11" stall. With your current set up your trans will be slipping even at freeway speeds- which means all the time.