Hello and welcome to JustAnswer!
Do you have a gas or diesel engine?
You say the transmision stays on part of the time? Can you elaborate as to what you've got going on?
Ok, that light is for the transfer case, the four wheel drive. Have you put the shifter back in two wheel drive? If you have, does it still feel like its in four wheel drive when you turn sharp corners? (does it bind up?)
Any loose gravel or something like that should hopefully do the trick. By sharp throttle jabs I meant "goosing" it. Roll at a slow speed and give the throttle a quick on/off burst and kind of give the whole Jeep a jerk. This will sometimes work, as will trying to do the same thing in reverse, or go back and forth a little bit from reverse to drive. Try the gravel or dirt first though, that's the best shot you have at getting it to disengage.