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Howdy folks!
I believe I had a bad distributor and attempted replacing it. However, when brought to top dead center on the compr stroke the rotors is pointed at the wrong cylinder. The engine has run smoothly before I screwed around with it and now it's all messed up. I found the marking line, not the notch on the camshaft and brought it to 10° but it doesn't line up with cylinder 1. Hoping to solve this as it's my daily driver. Is it even possible to be off cylinders like this?
Pointing the rotor at #1 is customary, not required. You can point the rotor anywhere, as long as you put the wires on in the right order. There's nothing physically requiring you to point it at the #1 cylinder.
Put the #1 wire wherever the Rotor is pointed, and wire accordingly.
I installed the distributor and the engine runs smoothly and doesn't not misfire. However, there is a knocking that you can only hear if you are under the eng listening on the exhaust side. Timin issue? I'm scared a rod might be blown, it's worse starting cold.
No clue, could be piston slap, could be valvetrain, you need to diagnose it. The 300's are known for getting piston slap as they get worn, most of them will run forever like that, without causing any damage.