Ok, you asked for it so here goes.....
First, you need to get the carrier bearings assembled onto the diff case and the whole assembly installed into the carrier with the adjusters and bearing caps installed into their original location (you can't mix the sides, they HAVE to go back in their original location so I hope you marked them when they were removed). Install it so there is some backlash and the bearing races are square and seated properly. Just tighten up the bearing caps by hand at this point. Tap on them with a hammer to make sure they're seated and square with the bearings. Once everything is installed, freeplay removed, a bit of backlash, tighten one bearing cap on each side to 85-90 ft lbs. Here's the rest, right out of the '70 factory service manual....
"Correct drive gear and pinion backlash when properly set is .006-.008 inch at point of minumum backlash. Rotate drive gear and ring gear several revolutions in both dirrections in order to seat the bearing rollers. This is neceessary before setting backlash. (1) Attach a dial indicator Tool C-3339 to carrier flange so pointer of indicator is squarely contacting one drive gear tooth (drive side) (fig.33) (2) Measure backlash between drive gear and pinion at four positions, approximately 90 degrees apart. After point of least backlash has been determined, mark drive gear. Do not rotate drive gear from point of least backlash until all adjustments have been completed. (3) Using Tool C-406A (spanner wrench) turn both bearing adjusters equally (in same direction) until backlash between drive gear and pinion is .0005 to .0015 inch. This back lash variation is given to permit alignment and installation of the bearing adjuster lock. lockwasher and attaching screw. The adjuster must only be turned in a clockwise direction and under no circumstances should be backed off. (4) Install adjuster lock on bearing cap, back-face side of drive gear. Tighten lock screw to 15 to 20 foot-pounds. Differential Bearing Preload
(1) Turn bearing adjuster (tooth side of drive gear) (Fig. 33) in, a notch at a time (notch referred to is the adjuster lock holes) until backlash between drive gear and pinion is a minimum of .006 to .008 inch. This will preload differential bearings and establish correct backlash. (2) Tighten the remaining two differential bearing cap bolts to 85-90 foot-pounds. (3) Install remaining adjuster lock. lockwasher and attaching screw. Tighten to 15-20 foot pounds". Then it goes on about the contact pattern.
