Ok heres the problem I cannot adjust timing properly on this car whatever I set it to, engine runs rough. I did all the proper steps however when I disconnect the SPOUT switch car runs much smoother and better. So at this point I'm driving with it disconnected. Could the ECM be faulty or something?

 

You must be working on a Ford if you have a SPOUT connector. GM systems use an "EST Bypass" connector.

If you are setting the base timing with the bypass connector disconnected, that's the correct procedure. Set it at 6° BTDC and let the ECM and EST do the rest. If there is a problem with this, start analyzing the EST system. The detonation sensor and its wiring are the first suspects.