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The single most important part of installing an alarm is properly identifying the wires. Old school test lights and so called "computer safe" test lights can damage some vehicle circuits, most companies will insist that you use a digital volt meter to test all of your circuits to avoid any damage to the vehicle. Here the ignition wire is being confirmed. The wire should read about 0.0 volts when the key is off, about 12 volts when the key is on, and will not return to 0.0 volts when the vehicle is started.