Thats will not give you the backlash. Pull the rear cover if not already done as probably want to change the oil in the diff as previous owner maybe a knot head.
You hold the pinion and move the ring gear with a dial indicator measuring the backlash.
Every other way is wrong. Holding axles well... guess what your also checking the slop in the side gears and axle splines etc .. or bolt it up and run it as is.
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