I just have the blue wire going to blue on cdi with one killswitch wire , then black from cdi ground to my bike frame with the other killswitch wire , no black in my magneto case but mine is a 3 wire altho I don't think it matters the difference between 2 and 3 is just the white missing and the black soldered instead of grounding by bolt , it makes no difference where you ground the black from the cdi once it's grounded all good.