Sending unit 68 pick up
 

Quick question. Fuel quage is stuck at about 1/8 tank and it doesnt work, I hook a test lite to the white wire on top of the sending unit , ground it out and the gauge goes to empty , Does that mean my sending unit is bad scince that the light is showing im getting a signal to the guage? Thanks

Re: Sending unit 68 pick up
 

the test light isn't telling us much, but the fact that your guage goes to empty when you ground it (with the light) tells us that your guage is getting power, and working, and the ground wire that goes from the sending unit to the guage is all good too.
I would pull the sending unit out and see if the arm is stuck, then I would probably look for a good used one personally.

Re: Sending unit 68 pick up
 

Also if you pull the wire off the sender and hold it away from everything the gauge should go to way past full. Make sure the key is on. Then if you ground the sender wire the gauge should go back to empty. Then you can be pretty sure your problem is the sender.