I always set the valves with the engine off. Mark the balancer at TDC and 120 and 240 degrees. Start on #1 TDC and adjust both valves by watching the pushrod hitting the lifter cup. Once it has fully touched, then tighten down another 1/2 turn. Turn crank to the next cylinder in the firing order (153624), Which is 1/3 of a turn to crank and repeat the process until you are done.
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