Thanks Benelli, that helps!
So, a couple things then,
1. Even though I cut the springs and they are definitely providing more resistance, I still had inconsistent readings at idle speed (I was at 1,600 rpms, not 1,000). Seems that the lower the rpm, the more "bouncy" and illegible the readings are for me, still.
2. Assuming the issue in #1 is resolved, at 1,000 rpm, I should see the line immediately to the left of F 1.4 line up with the fixed mark on the case, and at 2,500+ rpm, the F1.4 will should be to the LEFT of the case mark. (If I am understanding, the advancer spins clockwise, which means that the firing is happening sooner?)
3. For some reason, at higher rpm the reading is very stable and clear, and does not "bounce" anymore since shortening the springs.
Tomorrow I will start over and will gap the points again, set static timing again and then grab more pictures (or videos if its bouncy) at 1,000 and 2,500 rpm.
Thanks!