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Yeah, let's make sure you did the compression test correctly.
1. Start with a warmed up engine.
2. Unplug the connector from the CAS. That way you're not spraying fuel or trying to spark the plugs.
3. Remove all of your spark plugs. Relieves compression load from the starter.
4. Put tester into 1 spark plug hole at a time.
5. Floor the accelerator pedal and crank at least 6-7 time.
6. Repeat for all 4 cylinders.
Do the above, and let's see what we have.
BTW, high HCs means that you're running rich. A cold engine will normally run rich (kind of has to).
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Those numbers can't be right. Either your gauge is off or you've gotten something wrong. Valve guides can be changed in the car, but they don't have anything to do with compression. They can sometimes leak a small amount of oil onto the valves which causes a !little smoking. Compression issues are either bad rings, bad/burned valves (not seating correctly) or something much worse. Valve guides are the least of your worries if those numbers are right. Consider comparing your valve to another good engine, or try a different gauge. Its also a good ideas to hold the throttle butterfly open to get plenty of air.
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A compression test is not rocket science. The key is # 4 140, #3 65. Number 4 cylinder has over twice the compression as number 3. This means number 3 is bad period. Open or close the throttle, warm the engine, cool the engine, squirt oil in the plug holes, do whatever you want to do. The fact is number 3 is is bad.
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Good point. I also read people saying to do it with a warmed up engine but the spark plugs will probably get stripped trying to pull them out at that point. So I'm saving up for a used motor. :-)
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Rebuilding a motor is a fantastic learning experience, and is much simpler than most people assume. Since the motor already has issues, you can't really ruin it at this point, and you could save yourself a significant chunk of change in the process. Pul the head, have it decked, cleaned and refreshed at a machine shop for a couple hundred bucks (valve job, seals, possible springs), replace the rings (tools are cheap at HF), replace all the seals and gaskets, WP, timing belt, reassemble and rock on.
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You should probably check #3 piston while you are in there.