It's the sending unit going out. The early TJ's like mine have a real oil pressure gauge the later ones read in one of 3 positions I believe. Get a new sending unit unit from the dealer and throw it on there.
A forum community dedicated to Jeep Wrangler owners and enthusiasts. Come join the discussion about reviews, performance, trail riding, gear, suspension, tires, classifieds, troubleshooting, maintenance, for all JL, JT, JK, TJ, YJ, and CJ models!