Finally figured out the problem.
when I put in the new points and condenser,I put the dizzy on the bench and noticed that the insulating washers around the terminal on the side of the dizzy where the condenser and primary wire to the coil attach need replacing. I replaced the washer on the outside with an old style rubber faucet washer. Fit good and seemed to work fine. The rubber must have some metalic content as a check with an ohm meter showed that it was slightly conductive and prevented the points from breaking the circuit completely.
why the Japanese coil would work at all I don't know.
I installed the new Bosch coil, took the car for a drive running up to red line many times and it never missed a beat. Life is good!
sometimes the smallest mistake can drive you crazy. Tom

Not all current Bosch Blue coils are created equal. Cheap Brazilian ones from classic VW Beetle suppliers have a poor reputation. Any 3 ohm internal resistor coil should be fine. Points setting is spec'd at 16-20thou. Don't know what you use but try 16 thou to get a bit more dwell. This will help keep the coil saturated at higher revs, which might help with your misfires.
Basic tuning should start with setting the valve clearances, then the timing and then the carb settings. You've made an adjustment to the carbs but they may still be a bit weak. Baseline 12 flats down (1 1/2 turns). Might be up to 2 flats less or 1 flat more and probably won't be the same for each carb to get the smoothest tick-over.