40 degrees initial!

Thanks Rusty. I've checked No. 1 TDC. It's spot on correct and balancer hasn't slipped. I did compression test recently and got these numbers
No. 1 -- 160
No. 2 -- 158
No. 3 -- 159
No. 4 -- 155
No. 5 -- 165
No. 6 -- 162
No. 7 -- 166
No. 8 -- 160

It should spark knock like a beeotch with that much initial timing. No way would I run it that high....and I would double and triple check everything regarding the timing. I know you say you have, but it sounds like something's not right there.