I would not use anymore ether. The points should be set to spec to get the best spark. In a case like this, I like to power the coil from a separate source like a battery charger. That way you get the maximum spark. I would assume that gas is getting through and you can make it squirt with the throttle? Also, you need full choke on to make it start. You could roate the timing a small amount in either direction.
The correct position for firing on # 1 can be found by observing the rockers on #1 when the pointer is at the ball. Both exhaust and intake should some play in them that you can feel. Also the rotor should be aimed at #1. I would also check the firing order carefully, which is 153624.
