The two wires providing power in to the ballast resistor are used to switch on the MSD box. You will disconnect them from the ballast resistor, twist the two wires together, as one provides current in the key crank position and one provides power in the key run position. The ballast resistor will no longer be used.
You need a separate fused 12v power line from the battery, alternator output, or other steady 12V source to provide running power to the MSD box.