E21 316 won't start and other problems

[LeeLee]

Hello,
sorry before I start just after any help I can get.
I have just gone to start my 316 81 auto and it won't start,never not started.
It turns over fuel goes into the carb but doesn't seem to try and start at all
Replaced the spark plugs about September time but haven't replaced anything else,
Apart from oil and filter.The distributor cap is a strange one where it attaches and clips down it doesn't lock into place and can be turnt,usually have a little profiled plastic,it seems to be on the other way round but has worked fine before and hasn't bin removed,I wonder if this isn't helping though.

I've had a on going problem since November with water in my oil since I did a oil change.
Started being white mayo like in the cap now brown changed the oil and it was still there.
took it to a garage they said they think it's condinsation.
A lot of people have said that's what they think it is cause I don't travel more than 15 miles at a time.
I've bin taking it on longer runs and it would clear it but still came back.
It ran fine with no changes but it does smoke a lot when I start it,and sometimes when just waiting at lights but not on the motorway at all or while driving,it doesn't over heat at all,I was told to do a compression test,which didn't show any problems.
just looked in the air filter lid and there is a few splatters of brown gunk like oil in there guessing it's come from the oil over flow,
at first we thought this was the major problem for it not starting but fuel squirts in the carb fine.So am I right in thinking this problem is ignition? Any advise on this would be great,

[e21-Mark]

Take out one spark plug, leave connected to HT lead and hold plug against cam cover using pliers. (so the plug can be earthed but you don't get shocked) Then turn the engine over on the key and see if there's a spark? If no spark it could be the coil or the ignition module?

[LeeLee]

Ok great,I will try that first of! thanks mate

[LeeLee]

I've got no spark to spark plugs I've had sitting around and I've changed distributor cap and rotor arm.i put a electrical tester to the coil and it's got power,I've also tried the coil and a spare brand new coil I've got,where do I go from here I've got ht leads coming tomorrow,starter isn't that old replaced that last year sometime.

[LeeLee]

Also worth mentioning my ignition key doesn't turn back buy it's self I have to turn it back to disengage,might be a factor

[LeeLee]

Hi I've got it running the lead from the coil to dizzy cap was the culprit thanks so much for your help

[Jeroen]