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I agree with Porkface, use the Bosch set up. The write up at Vcassics is NOT the way I would do it, and the use of a diode makes little to no sense as the whole point of the ballast resistor ("ceramic thingy") is to reduce voltage during running of the engine and to be bypassed during cranking. Basically when you crank the engine you should get 12V to the coil and when you are running the engine you should get 10V at the coil, the idea is to help starting and reduce wear/heat on the coil.
The best way to wire a 120 with the '75 240 ignition is to follow the wiring scheme from a '75 240. This will yeild you a bullet proof ignition, and will not require the diodes etc.. I believe the "diode setup" was developed by someone who didn't have the extra connection point on their starter (a point that is only "+" during cranking), but at this date I would be surprised to find a 120 with a pre '75 bosch starter ( after "75 all the bosch starters would have this connection). Also there are other ways to wire around this "problem" or you can bypass the 12V phase of starting completly and let the ignition run at 10V all the time (I did that for quite awhile and never had any starting problems and I was winter driving/starting in Canada).
If you read the preamble to the Bosch ignition transplant at Vclassics it is kind of clear that they are not to sure of themselves on this and while I am sure their system "works" it brings another level of complexity (failure point) to a very simple (reliable) system. Given the choice between Bosch and Vclassics I know where I would put my money.
Finally, I use the Bosch coil that came with the ignition system basically because it gives me a better spark, and is easier to change/trouble shoot. The old coil still works, but I see no point in using a lame coil that was not calibrated for the system I am running. That being said, if you were to run the car at 12V all the time (bypassing the ballast resistor) the original 120 coil would be the coil to use at is made to run at 12V all the time.
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Patrick, '68 220, '83 245, '92 Eurovan (work truck).
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