No, there is no knocking or weird noises coming from the engine (knocking on wood). Only time that happened, was many months ago, where for some reason the oil pressure dropped to L, and then I heard some noise so I shut the engine off quickly. I waited a minute, then started it again, then the needle moved up to almost the center and the engine sounded fine. So the unit did go bezerk once already. I know all about that noise, lol, as husband's aunt ran her Jimmy out of oil and boy did that engine knock!
Today I drove it, and the needle hung around the middle. Then I drove it later, and it was down a notch towards L, but not near the L (thankfully). So, the sending unit is most likely getting to the point where it needs to be replaced. I will get an estimate from the auto shop I take it to. Hope to get it replaced sometime in the next 2 months. I don't plan on driving it too much this fall since we picked up $500 Honda odyssey at the auction to drive (getting title tomorrow and getting it on the road asap) until we save up enough money to get a decent used Yukon or Suburban. I want my 88 Daytona to just stay more of a weekend car and not an every day car.