Your thinking is correct, and would be running now (assuming the TDC you set the timing to is the compression stroke) if it had a "standard" chevy distributor cap. Look at that cap up close. You will see goofy looking tunnels across the top, at the end of those tunnels is where the lead starts (and then goes to the wire). Kind of hard to explain, basically follow you #1 plug wire to the cap, and then follow the tunnel. Where it ends is where your rotor needs to be when #1 is at TDC. And the distributor is non adjustable, if it is hard to start but runs you are a tooth off and need to fix it, over advanced will eat a starter pretty quick, and they are a bitch to replace, not that I did that on my 96 Good luck.
And soak hyd. lifters for a day or two before putting in.