The 2 wire solenoids are for cars with HEI distributors. The outside wire is no longer needed to supply a cranking-time-only 12 volts to the distributor because HEIs always use 12. Points based distributors normally use 6.6 volts. So basically you got a starter with the wrong solenoid since your original had 3 wires. Either switch the old & new solenoids or go back to your parts store and tell them you have a points based distributor and need all 3 terminals.
On a 70 the coil (+) wire should be getting voltage in the START posistion without the yellow attached to solenoid "S" terminal. Check to see if it is when you are cranking the car.
Others have stated that the bump voltage is not needed with modern coils. http://www.chevelles.com/cgi-bin/forum/ultimatebb.cgi?ubb=get_topic;f=22;t=002489
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