I tried it with the preload nut even with the flywheel nut, still nothing. I'll go to the extreme minimum with clutch gap tomorrow. Right now the preload nut is even and the clutch gap is .55mm. The endplay is just about right I think, very very little amount of play.
One thing I just noticed is that when I give it a little throttle, the pinions turn a little bit in the wrong direction. The engine can't be spinning backwards though can it.