After doing some research on the causes of shudder, I discovered that old and dirty gear oil in the rear differential can cause shudder. I just changed the gear oil and the shudder is gone.
So my shudder was not due to the TC but to the dirty gear oil in the differential.
The oil in the differential hadn't been changed since it came out of the factory. My fault for not checking earlier, I bought the jeep with 37,000 miles on it in 2011 it now has 65,000 miles, it was due for a change. I'll do the front tomorrow.
So if any of you are experiencing continued shudder even after you replaced your Torque converter, before you tare into your transmission again, change the rear differential oil with 70 OZ of 75 - 90 synthetic gear oil.
The worst part of the job was getting the old gasket off.
Here is a good write up on how to do it:
http://www.jeepkj.com/forum/f202/how-ch ... ils-28670/