Is oil supposed to be on the fork part of my distributor?

What could it mean if there is oil on it? Could it be my gasket? Should I replace the whole distributor?

No it cut off while I was driving..and yes it the piece that goes into the cam had oil on it..when I took the rotor off there was no oil in that part..sparks were firing thro the plugs(did the test) but it just wont turn over..

motor won't spin or engine won't start.............'turning over' is a physical action , meaning that the engine is in fact spinning or 'turning over' Re-check your cam timing and firing order. Turn engine to TDC on #1 firing (cam arrow pointing up , along with the word 'UP' stamped on most) crank on white not red mark.THEN check where the dist. rotor is pointing in cap. Go from there.

Ok..I replaced my distributor and did everything that you said ziptie12. It won't start..I have no idea what it could be..

IF the timing belt was on incorrectly while you were trying to start it , then you might have bent some valvw=es , time to check compression and if all that's good check fuel system/supply. Poss main relay.----- IF your reading this and still haven't gotten it running , reply with further results and I can tell you an easy way to verify if the main relay is working.