How do I actually use the dial indicator?
In this cased you would need an indicator with a rod long enough to reach the piston through the spark plug hole. What you do is stick it down the hole and turn the crank until the piston is at TDC according to the indicator.
HF indicators really do suck but should be fine for timing a motor. Just don't try to measure bearing clearances with HF micrometers :eek:
I work in a CNC shop and use these types of tools on a regular basis.