The noise seems to be coming from the mid section and it's louder on the passenger side. Could it be the transfer case? What are some of the things I need to do to test whether it's the transfer case or whether it's the front or rear driveshaft? Could it be the tranny?

Thanks to all for your help.

 

I fixed it. The issue was front driveshaft center ball need grease. When I changed the oil this summer I didn't add grease to the centering ball because I didn't have a grease syringe back then. Added grease and squeaking rubbing sound went away. Good thing I didn't replace the transfer gear box which was my next step.

Thank to all for your help!

 

Congrats on the fix!
But now that you mention it, how do you grease the centering ball?
Does it use the standard grease fitting?
I totally forgot.

 

So how exactly did you grease it? I couldn't find a place to grease mine and I ruined it... started squeaking.

You are a ninja.