Zombi,
The ignition system just provides a spark. If you are getting a spark and the timing is correct, that is all there is. Did you check the timing with a timing light? As 5twins said, the recommended position for the plate is just to get the engine started. You must use a timing light to set the timing.
In is very important that you install the PAMCO rotor on the advance rod first, before inserting the rod into the cam cavity. Then you install the aluminum cap that replaces the advancer. There are two locating pins that must be in their respective slots in the aluminum cap. One is in the cam and the other is on the end of the advance rod. After installing the aluminum cap, there should not be any movement at all of the advance rod, PAMCO rotor or aluminum cap. Absolutely no movement. The E-Advancer takes the place of the mechanical advancer so there is no mechanical movement at all.
For best results, substitute a fully charged battery to power the PAMCO when setting the timing with the timing light.
Remember that the ignition system just provides a spark. You could have something else wrong with the engine, such as the carbs. Also, be sure that the headlight is off when starting the engine after you have set the timing with the stand alone battery.
