I used a normal coax, audio cable. Its probably closer to 12 gauge wire. Doesnt the wire from the ecm run straight from the ecm to the sensor? Is the sensor not grounding it? I'm confused about that.
I am not an electrical engineer, but I tried your method with my '87 Supra and it failed, only solution was using a shielded wire and grounding one end. The KS system is finicky, it seems breaks in the connection(even when resoldered) or RF disruption of the signal from outside will cause it to throw a code, which causes the ecu to retard the timing to prevent engine damage.
Since you have already soldered in a new wire I would try the correct KS or Willards suggestion, then try to rewire it using the method used for the Supras.
http://oldschool.supracentral.com/htm/knock.htmGet rid of the normal sensor. Splice into the existing wire and install a GM knock sensor on one of the threaded bosses on the block. Also will need to run an inline coil resistor on the wire to the sensor. This is what LCE does with there standalone kits. It worked perfect for me.
Is that using the oem wire?