Eddy 1405 tuning advice

Orange springs in it, and down tight at idle. Pop up when throttled.
The spacer was needed when we 1st got the car for percolation. I honestly never thought about removing it.
Try it without the spacer.

Low speed light throttle only uses the idle circuit so it could be that you need to use lighter springs. The metering rod might be bouncing up and down . I dont think timing is an issue . I run a very similar cam and it will run OK anywhere between 12-18 intitial. I also think your lash is fine .
Try the lighter springs and see what they do .