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  1. Have you tried actually rotating the black ring? I agree with you that the wingnut is not for selecting the shifting mode.

  2. Just to record the solution, the down votes and answers here are quite misleading:

    1. Loosen the wing nut on top (no need to completely remove it).
    2. Rotate the outer black ring into the desired setting, so that the dot on the grey disk is aligned with either friction or index. There is a click when the ring is setting in position.
    3. Tighten the wing nut.

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