Let me start by apologizing if I need to do an intro before jumping in and making a post. Point me in the direction of the intro area and I'll be happy to. So, we got this xs360 for my wife, neat little bike - kick and electric start, parallel twin, nice and light. I did the usual setting of points, dissassembling/cleaning/checking for vacuum leaks on the carbs, verified that we're charging, replaced broken fusebox. I also rebuilt the petcock and cleaned/coated the gas tank. So, it idles pretty good most of the time, but not reliably and it sporadically loses power. Not at a certain RPM, but randomly at different RPMs as I rideit. I think the loss of power may be related to the inline filter I was running between the petcock and carbs - wanted to make sure I knew it if the tank was still spewing rust before I had to clean out a jet or worse. I'm removing that tonight as I've not seen a speck of rust come through since cleaning the tank.
Once I got it warmed up, though, it appears to be spitting some exhaust (I say exhaust, but it's really more like warm air) out the points cover. I removed the points cover and ran it with the points exposed and it REALLY seems to be coming from there. I know the exhaust manifold and head/jug connection are there, so I double-checked and that's really where it's coming from. I know the points sit on the end of the cam and there's a seal there that's undoubtedly blown, but why it's happening is my question. I guess this might be a normal amount of turbulence in the valve cover on an OHV motor (I usually mess with pre-60s american cars, so I'm a little inexperienced with OHCs other than my 240z), but it seems like a lot. What could cause this? Timing? I actually (winces) haven't checked the timing or run a compression check as this bike was supposedly a runner when parked and I wanted to make sure it starts, stops, and shifts before I invest much in it. Anything else this could be? Just a normal amount of turbulence in an OHC valve cover?