easiers way to see if you have a burnt valve, is to put a piece of paper at the end of the exhaust tip and hold it there. Eg if it just blows the paper away from the tip, then its not a burnt value. But if it blows away and then sucks it in you got a burnt valve
Don't know you must have the timing marks out... Giving me your email address and i'll sent you a pdf file on how to do it...
When you took the rocket covers off, is the engine full of sludge???
Yeah done heaps of them. I would recommend you put it back together and instead of doing it stage 1 and stage 2. Just do stage 2, so it other words put the timing marks on stage 2, make sure the cams are locked up. Remove drivers chain, then centre chain and the passenger chain.