If you don't have a tack and haven't picked up an ear for telling when they're running rich or lean, there's another pretty good way to set two stroke engines:
For the high speed needle, run full throttle (give it a few seconds to stabilize and heat up) and use your needle nose pliers or similar to give the fuel line a fast pinch -- just pinch it and release immediately. If it dies or loses rpm, it's too lean. It's just right when it picks up a couple hundred rpm (that's about the smallest amount that you can hear confidently). If it jumps up a lot, it's too rich.

For idle, do the same thing except hold the line pinched off. the engine should do nothing for several seconds, then slowly gain a few rpm before dying. Speeding up immediately means it's too rich, dying quickly means it's too lean.

This pinch method has the advantage that you don't need a tach or a very good ear to do it. I now tend to do the find-the-peak-back-it-off technique 2slow2matter and britbat suggested, usually with a tach. Give both ways a try and see what works!


Also, to verify that what the OP described is normal, what is your ful throttle fuel consumption like? On the order of an ounce a minute would be reasonable; if you're using 2 or more, you're probably leaking somehow..