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All kiddin aside, if you do mount the coil farther away from the distributor, you'll need a coil wire with lower resistance because the spark will have further to go.
I'll add this too......if you run some kinda box like a MoPar ECU or MSD........whatever. When you mount it, put spacers under it so it stands up off of whatever surface you have it on. This allows air to flow completely around it.
I'm no guru. I learned things in my life by screwing them up first. I've screwed up a lotta stuff too.
Anyway, what kinda build is your car? Stock? Mild to moderate? Street strip? If it's stock to moderate and mainly a street car, you can actually benefit from the factory vapor return system...
I take for granted you removed the steering wheel. You need to go back in and make sure you put the steering shaft snap ring back in place. It holds the steering shaft up and keeps it from dropping down like you describe.
Looks like those two lock nuts are rusting up and causing rust to get everywhere. I would begin by taking it down, cleaning everything up good. Then replace those two nuts with a couple of stainless lock nuts. If the piece they hold down is rusted as well, clean it up and paint it. Be careful...
Well, if the battery is weak, it could still start the car, but it's weakness or inability to accept a full charge would have the charging system working overtime. It's just a guess. You seem to have covered everything else. Good luck.
I would advance it 2* at the time until it just starts to rattle under moderate load in high gear, then back off until it stops. Really no way to tell you specifically without you trying it and adjusting it, because it's just something you have to experiment with to get right. Without knowing...
One more thing. Does that distributor have a vacuum advance? If it does not, then here are two things. First, it will most certainly require more initial timing than a distributor with vacuum advance. Secondly, if you are going to drive it on the street, you are robbing yourself out of MILEAGE...