How to wire a Lionel block signa lwith insulated track.

Only one outside rail has to be insulated from other sections. A hot wire goes to the signal block. The other wire from the signal block goes to the section of track with the insulated outside rail. When the train passes over the section of track with the isolated rail, a connection is made to the power supply common through the wheel axel. The other wire from the aux supply (common) is connected to the same common as the supply powering the rails. Power the block signal from an aux supply not rail power.