Obviously at TDC the timing pointer should read TDC.
You are supposed to Set/check the timing pointer. Do you have a .464" mark on the timing decal? if so, set the #1 piston to TDC using a screwdriver. Now measure from cylinder head to top of piston. Add that measurement to .464 inches. Turn flywheel toward the .464" mark until you measure the sum obtained. Now set the TDC pointer to the .464" mark.
Now time the motor 0-9*ATDC for Idle pickup timing and 21* max spark advance.