#1 is clearly identified on the distributor cap (as are 2-8), provided you have an original Bosch or MB cap. Looking at the cap, #1 should be about 11 o'clock, give or take. #1 is also the cylinder closest to the radiator on the passenger side.
Timing is automatically adjusted through the EZL and crank sensor, so twisting the distributor will have only a momentary effect, then the EZL will readjust. Timing is not adjustable on your car. If you have twisted the distributor too far either way, you stand the chance of ruining a nearly indestructable cap. New from the dealer they cost $179.00. I just replaced mine as a Christmas present to the car, that and the fact mine was almost 17 years old (as speculated by the dealer due to the Bosch number rather than a MB #) AND I am going on a month long trip.
Such a length of service from a distributor cap makes up for the high cost.
'73 280SEL 4.5 (9/72)- RIP
Only 8,173 units built from 5/71 thru 11/72
'02 CLK320 Cabriolet - wifey's mid-life crisis
2012 VW Jetta Sportwagon TDI...at least its a diesel
Non illegitemae carborundum.