This is one of the best videos for installing and getting it set up. It’s in German but you can follow along just by watching.
At the 21 minute mark is where it shows lining up the led light inside the distributor. That is probably the part you’re missing.
https://youtu.be/EMrAj6KsQB8
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78’ SC 911 Targa - 3.2SS, PMO 46, M&K 2/2 1 5/8” HEADERS, 123 DIST, PORTERFIELD R4-S PADS, KR75 CAMS, REBEL RACING BUSHINGS, KONI CLASSICS
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