With such low compression, I don't think knock / ping should be an issue. However, you will reach a point where more spark advance won't yield any more power. Either that, or driveability will start to suffer. Or maybe a little of both. You'll just have to experiment with it.
I would suggest starting at the stock spark advance (10° BTDC), and advance it 2 degrees at a time. After each bump, take the car for a spin to see how it behaves. When you reach the point of diminished returns, back the timing off a degree or two. And you should be good.
Edit to add: the method Arn outlined above should be good for setting a baseline. I'd still want to do some testing and tweaking, though.
[This message has been edited by Blacktree (edited 03-28-2013).]