63Falconconvert, here is what my manual says for "hydraulic lifters" on the 200, 240, and 300 6cyl:
1.Crank the engine until the TDC mark on the crankshaft damper is aligned with timing pointer on the cylinder front cover.
2.Scribe a mark on the damper at this point.
3.Scribe two more marks on the damper, each equally spaced frrom the first mark.
4.With the engine on TDC of the compression stroke, (mark A aligned with the pointer) back off the rocker arm adjusting nut until there is end-play in the pushrod. Tighten the adjusting nut until all clearance is removed, then tighten the adjusting nut one additional turn. To determine when all clearance is removed from the rocker arm, turn the purshrod with the fingers. When the purshrod can no longer be turned, all clearance has been removed.
5.Repeat this procedure for each valve, turning the crankshaft 1/3 turn to the next mark each time and folowing the engine firing order of 1-5-3-6-2-4
Good Luck, Jim