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To move from D to M, you need to push a little harder than going from P->R->N->D. I think that's so you don't accidentally go from D to M. I usually just hit the shifter into M from D. You need to be in M for the paddle shifter to work and the gears start at 2 (not 1) when in manual mode. From a stop, the car transmission will go from 1->2 for you. You will notice it switches gear even though it says 2.