Good afternoon!
I am looking for some technical help for setting points and timing on a 1972 AT2M; I believe I have a decent understanding, but I must be missing something during the process.
a few questions to start.
is a digital volt ohm meter ok to use or should i use a analog meter?
do I need to disconnect any wiring from the points or condenser or just connect to the black wire from the stator and ground? (Not sure if the condenser will trash the meter readings)

thanks for your comments and assistance!  

I made a test light out of a incandescent festoon bulb, but you can use any bulb. I initially set it by sight (with a strong light and magnifying glass), getting the points to open just as the chisel mark on the flywheel window hits the mark, then made the light to confirm it. Post #16 in this thread has a video.

yamaha-enduros.com/index.php/forums/gene...rks-on-ct-1?start=10

By far the easiest way to check timing on these bikes, is to check that the strobe timing marks are correct, and use a timing light. A cheap vernier type gauge can be used to check timing marks are correct, and then timing checked/adjusted with a timing light.

PFC,

Nobody has actually answered your questions so I'll give it a shot.

I like to disconnect the points wire at the ignition connector and attach one lead there and the other to a good ground.  You do not have to touch or disconnect any of the wires at the condenser or points. 

On the meter...  the answer is "it depends".  The difference in resistance between points open and points closed is generally less than 2 ohms...  You should see 0 ohms with points closed (same reading as touching leads together) and something between 1 and 2 ohms with points open.

I've never seen an analog meter with an "Rx1" scale that doesn't work great for this. 

Many digital meters struggle.  The numbers bounce all over and you can't get a clean reading.  So the answer on the digital meter is you can use one if yours is giving you a solid difference in resistance reading with points open and points closed.