Its kind of funny with the timing. When I put my rebuilt engine in with all new stuff, it ran better with the timing adjusted so the mark was up under the water pump. I went through all of the stuff you did and was banging my head on the wall. Put a new carb on and voila! I could dial the timing back where it was supposed to be (er, around 12degrees anyways). Turns out the throttle shaft was so worn out, it was letting in massive amounts of air. Now that I did the DSII conversion, it runs better with the mark up under the water pump again. This, I think, is due to the massive springs in the mechanical advance. I'll find out shortly I guess. Same results, two different problems. Imagine if both were messed up at the same time? Banghead against wall time again.
