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First off, disconnect the hose from the vacuum retard on the distributor, and plug the port where it connects to the manifold. The car will run better without it.
George and I disagree on timing settings. I would set it at 10 BTDC at a slow idle, and then rev the motor and see that it advances to about 34 BTDC at high speeds. That's your best power setting and will also be very close to the best economy setting.
If the idle is around 800-900 when you check the timing, there is no need to reduce it with that silly gadget the manual talks about.
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