ok a little more investigation, u got a mutimeter right, set it on continuity.
1. note : using like color wires makes life easier. get rid of black wire sticking outta left side under stator. u should only use the wires coming outta the rubber gromet. black to the hot side of coil and blue for external ignition ground.
start by disonnecting hot black to coil and blue from ground.
check coil terminal contunuity to end spark plug cap. good? if no continuity then something up.
2. w points open. Check from points screw to outside black wire, good? if not then theres a break in wire somewhere. check from points terminal to ground, nothing on the hot side should be grounded. if it is...then search wheres its touching or grounding out your spark.
reclean and set points, clean all grounds, shiny metal clean.
ground blue wire, black wire to coil. spin, u should get spark. oh wait, is it a non resistor cap?