Buckeye,
Yes, that wire that looks like speaker wire is the resistor wire. On a regular (square taillight) 2002, it has roughly 0.9 ohms of resistance. (it's hard to measure really small resistance amounts, so your reading of 1.2 ohms I would expect that your resistor is a 0.9 ohm one). So if you choose to keep the resistor, then you need to use a coil that requires a 0.9 ohm resistor. They used to be black, but don't assume that all black colored coils are the ones that need a 0.9 resistor. The original coils on both of my tiis were black in color, but the sticker on them said they required a 1.8 ohm resistor. Those tii black coils were equivalent to the "red" super coils. BTW, the resistor wire (that looks like speaker wire) on a 1974 2002tii is twice as long as the ones used on the later model 2002s and therefore has 1.8 ohms of resistance. Hope that helps and doesn't confuse things more,
John
EDIT: I can check the Bosch part number for that coil when I get home tonight. I have several of the coils that require the 1.8 ohm resistor and also a couple of the ones that require the 0.9 ohm resistor and can compare the Bosch part numbers stamped on the bottom of the coils. Bosch part numbers are those 10 digit numbers stamped on the bottom.