In my opinion, and as others have noted, you very likely have bent a valve to have 0 lbs. compression...I had a similar situation on the 312 in my 'Bird...I had 130-140 lbs. except for the #2 cylinder which had 80 lbs.
I did a leak-down and found that I had major airflow back through the intake port (I had removed the intake manifold previously). After Tim (mctim64) pulled the heads down he found a crack on the #2 chamber...
I would definitely do a leak-down, quick & easy way to find out where the air is going...should be really easy if you aren't mmaking any pressure.
You definitely have something else going on if it won't run on 7...I suspect fuel...as mine ran decent with ignition that was completely screwed...
Good luck, let us know what you find...
BIGREDTODD
Todd in Central California...about half way between Fresno and Sacramento
1956 Thunderbird - 1960 F-100 - 1961 Starliner - 1961 Imperial