Sackman has you straight on the marks and which pointer to use.
Assuming you are using the stock cam and ignition system, 10-12* BTDC works good on most Ford V8's.
From the FWIW Dept:
If the engine in your photo is the one in question, right now while the heads are off is a real-good time to possatively locate TDC on the #1 piston and compare that to where the marks on your balancer says it is. Don't be surprized if you discover them to be off a couple of degrees.....or maybe by a bunch if the balance ring has slipped.
The object of this exersize is two fold;
1)....Establishing a correct relationship between where the crank is and where the pointer says it is. Otherwise, you're only guessing at where you're setting your base timing.....timing light or no.
2).....You'll find out perty-quick whether or not your balancer has slipped. If it's off by more than a degree or so and/or if the rubber is cracked, oil-soaked or hanging out more in one place than another, don't bother remarking it....just buy a new one. Aint no easier time to change it than right now while the motor is sitting on a stand.
This is an old picture, the engine is built up now. I am running lightning heads, a weiand stealth intake, mild street cam, etc in a 1968 fairlane. I was trying to time the engine yesterday and couldn't remember what mark to use.