I need a bit of help from fellow E36 M3 owners. What is the correct orientation (o'clock position) of the knock sensor ("ping detector" in BMW-speak) for cylinders 1-3? I believe the sensors should be mounted in a specific orientation & I believe my '97's is incorrect. Any help will be greatly appreciated.
It dosn't matter. If anything, make sure the wire is pointing at the general 6 O' clock area with no pulling on the wire.
Orient it so that the harness reaches the plug and meets up with the rest of the harness. The most critical thing there is installation torque. Too tight or loose and it will be too sensitive or not sensitive enough.