The ignition timing should be set at whatever the placard under your hood says and at the specified idle. Make sure that your idle speed is correct because a high idle will advance the timing considerably and you will not be able to set it correctly. With the EST connector disconnected and the idle correct loosen the distributor hold down bolt and rotate the dist until the timing is correct. Then tighten the bolt, reconnect the EST connector and to get rid of the check engine light take the negative lead off the battery for a minute or so.
Also, if you are saying that with the hold down bolt lose you can not rotate the dist enough to get the timing lined up then the distributor shaft has to be moved a tooth or so to facilitate obtaining the correct timing......Haynes pg 5-6 covers dist removal and installation.
Also, if you are saying that with the hold down bolt lose you can not rotate the dist enough to get the timing lined up then the distributor shaft has to be moved a tooth or so to facilitate obtaining the correct timing......Haynes pg 5-6 covers dist removal and installation.