One of my Explorer wheeling as well)
This is my 347 powered Ranger. Its running 36's now. Its just about the limit for the D35, but Im not severe on the stupid pedal. It mainly has to do with your driving style. If you like to do neutral drops, with your wheels turned all the way over, go with a D60 (it still wouldnt last). Any axle you use will grenade if you dont use some common sense. I ran the 7.5 with a stock built 302, until I got my 8.8 built and it held up (I really didnt push it). I run 35's on my Explorer (with lockers on both the Ranger and Explorer) and they do what I ask of them.
33's should be O.K. (you never said if your running lockers or not), just use your head a little. The 35 is not a bad axle, and gets a bad rap because of the TTB. I do have a Dana 44 out of a 78 Bronco, but I think Im gonna use it on my Samurai buggy with 38's (I will build the heck out of it). The only real difference, other than straight axle/TTB (and axle diameter)is better wheel bearing placement on the 44. The spindle nuts are even the exact same things. You do get better hubs with the D44 (more aftermarket choices)
Unless your gonna do some major wheeling, the 35 will work. I would however, rebuild it (new bearings, seals, U-Joints, etc...), AND I would jump a few sizes in gears to make up for the bigger/more mass of the new wheels and tires (example if your running 355's I would jump to at least a 3:73's or even better go to 4:10's (I run 4:56's in my Ranger, and 4:88's in my Explorer)