Another dang XS650 over here.

man, the worst part is the driver has you sit on it and hold it upright while he straps it down. You are just up on a stage on the side of the road, lead actor in the Broken-Ass Bike Show. People wavin'
 
Looks nice, is that an 80? If so suspect your fuse box too.
But I think I see the clues it's a 78-9
You will need to get the VOM out and start tracking down where 12 volts is and isn't.
 
Gary is likely correct, suggesting the fuse panel. If your bike still has the original 4 position fuse panel (glass fuses), that fuse panel has to be tossed into the garbage. OK when new many years ago, but now cause many electrical problems. Automotive blade type fuse holders is the way to go.

I would suspect the kill switch before the ignition switch, but could be the ignition switch.

First...........replace fuse panel.
Second..............inspect the kill switch
Third..............ignition switch can be taken apart and the copper contacts cleaned.

Also, any and all bullet connections are suspect.
 
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