Shift Mechanism

Hello. So, I purchased a torn down 78 DT175 and rebuilt it top end to transmission. It had needed a new shift shaft which I replaced, and put it all back together and got it running! I was so proud it was going finally after all that effort. However, it wasn't shifting properly, and I am hoping someone has knowledge on this specific issue.

So in order to shift it you have to kind of jimmy it; for example on the shift up, the shifter would stay up and I'd have to tap it back down before I could shift it up again to the next gear, and visa versa shifting down. So, I currently have it all back apart to assess the issue.

Upon inspecting all the springs and mechanisms per the repair manual, I don't really see any issues; all the springs look good and are properly connected. But, if you look at the images, in the manual at 18. "Shift the transmission into 1st gear. The index mark on the shift cam and upper shift arm must align for a proper shift progression from gear to gear. " As you can see, mine is not aligned, however, I am in NEUTAL at this point, and so HOW DO YOU SHIFT INTO FIRST when at this point per the manual the shift shaft is removed? Or, is my alignment good because this is where it should be when in neutral?

I don't see how it could be off anyway as I have never removed the shift arm before and was told it ran fine before it was taken all apart.

Also, before I reinsert the shift shaft, should I grease it up? If so, what type would you recommend?

Any other advice as to why it is not shifting right?

Thank you!!