samosali:

Although it MAY be possible to have the engine run with a mis-assembled flywheel, the performance of the engine of the engine would be such that it would be immediately recognized as being wrong. The minimum timing error would be +/- 30 degrees (120 +/- 90).

If you will refer to the parts diagram, it can be seen that the starter ring gear incorporates four segments that serve to vary the magnetic field of the inductive pickup (also called a variable reluctor, [VR]). The leading edge of each segment is tapered away from the VR. As the segment passes the VR and gets progressively closer to it, the field changes slowly due to the taper. When the sharp trailing edge of the segment passes the VR the field change is very rapid, and that induces a voltage in the windings of the VR. That induced voltage then signals the EZL to trigger a coil. Which coil? The flying magnet, in conjunction with a second pickup (either VR or Hall Effect) establishes the position of the crankshaft, which allows the EZL to select the proper coil and distributor.

In the system as described, random, fluctuating timing errors can be caused by a loose VR, which would result in a varying air gap between the VR and the flywheel segments. Variations in air gap will result in variations in the induced voltage, and hence, in the point at which the triggering voltage occurs. Errors can also be caused by ferrous particles which are attracted to the magnetized components of the pickups, and which randomly change the intensity of the magnetic fields.

Would you be able to post a picture or two of the timing light which you have? Also pics of the timing marks on the dampener and the pointer?