Ok here is the DEAL Please read this CAREFULLY
The REASON that distributors are installed a certain way (except) is because the assembly line folks can rinse, repeat, and the tune up mechanics "see what they expect."
(The except is weird stuff like odd fire V6's and other engines where the dist. towers are not evenly spaced, etc)
So far as it "runs" YOU CAN toss the dist gear in there any old way at all, and toss the dist in right after it, blindlolded.
Bring the engine up on compression, NOT TDC, but rather WHERE YOU WANT initial timing. Now look "where is the rotor" coming around to which tower? That is your no1 wire. Time it and run it.
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The so called "right way." The dist gear drive tang is supposed to point to the front intake manifold bolt hole on the drivers side (small block) The reality is that some distributor drive tangs are NOT in the same place as "others" so you can not always get it in the exact "factory look" spot. this means you might have to walk the dist gear around a tooth or two to do so.
The dist only goes in two ways, you point the rotor at the no1 tower as "close as can" and stick it in there
Bring the engine up on compression, NOT TDC but where you want timing, and rotate the dist. CW (SB) to retard timing. Now slowly bring dist back CCW (advanced) until points just open (use a meter/ light etc) or until the reluctor is centered in the pickup core
Drive gear location, LA:
Right out of the SHOP MANUAL which can be DOWNLOADED FREE from MyMopar