Spark plug gap
I have the same cam in a 340 and that is about where it takes a nap.
That is with ported X heads , 1 5/8 " headers and a 750 d.p. .....I'd guess around the same compression , but I didn't build this motor so I can't say for sure.
As for plug gap ....... I run .045 with all my MSD ignitions ( a half dozen over the years ) and it seems to work fine.
Having too narrow a gap probably isn't causing it to run our of power , but it is affecting combustion and efficiency.
This stick isn't going to work much past 5,800 in a perfect combination.......... it will rev past there , but why bother ?