If I'm understanding correctly, I only need to go as far as the intake valve starting to open at TDC instead of 34 BTDC to know that something is not right. All the other readings simply confirm it.
That's correct, as long as you are on the shoulder of the lifter with the dial indicator so you eliminate any hydraulic lifter leakdown it will be close enough.
You know for sure you are seeing the cam lift when you are on the lifter shoulder because the lifter is resting right on the cam lobe.