You're gonna get a lot of grief on here over this... Reason is - this is not at all close to how it should be done... You will blow your struts almost immediately.. but to answer your questions..The coilover sleeve needs to come down all the way to the seat on the strut, you can use duct tape to wrap the strut to make the sleeve nice and tight on the strut. Then you use the rings to adjust the height of the vehicle. With coil overs the spring will be lose when car is up in the air (not like a conventional spring where you have to compress it). My advice is send the coil overs back and get your money back for those. If you have new set of stock struts - put your stock springs back on until you can get your hands on some AGX struts which pop up on this forum from time to time for an affordable price. Then you can get some nice GC coilovers - or others (not no branders) which also come up on this forum from time to time. Otherwise you will lose your money because these new struts will blow (not if but when and it will be soon) so you will be out for the struts and out for these coil overs... save your money, take your time and do it right.
The following link will tell you almost everything you need to know about our suspensions:
http://www.sr20forum.com/driveline-t...formation.html
Good Luck