May be worth doing a throttle body alignment too, you accelerator position looks a little low. Should be in ~85 region from what I remember.
The other question is the actual effect of the Chipwerke on the MAP. Specified and actual boost are on target...so the bypass has to open. Although I am uncertain, I believe CW works by altering the pressure reading at the MAPs, which invalidates the data in column J. If J is in fact invalid, IATs are likely higher than expected and timing is retarded in accordance with stock protections. The logs only show a 2d picture, where the actual MAPs are multi-dimensional as they relate to the different variables like pressure, timing, throttle position and temperature. CW artificially supresses one variable to create more boost and leaves the rest of the MAP to compensate.
The other effect is adaptation or the parameters that need to be adjusted to compensate for the tolerances in all the engine components...which is why we have to reset the ECU.
Would be worth looking at a log w/o CW for a side by side comparison on the same car...I don't think your timing issue is a function of knock but a combination of effects that occur when the pressure signal is manipulated.
Although it's worth nothing without logs, I ran my CW on 7-1 on a dual pulley setup. 7-1 was the only setting that did not give me consistent drivability issues while making that much excess pressure.
Bottom line, pick a setting, reset ecu with VCDS, let it adapt for a few days and then log...should give you better insight on how the system performs with one variable being constantly suppressed. Check your corrections after the adaptation period, if they are too high, lower the setting, if no corrections are made increase the setting or press with what you have.
I think you can safely run 7-1 with all of the factory nannies in place...but logging after the adaptation period is the only way to be sure. The
Stage II CW thread has a few 7-1 logs with corrections around 4 at the top end like you saw.
PS... AFR like Leman mentioned above may be the key to understanding if you are safe or not.
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