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OK so this Engine Coolant Temperature Sensor lesson says the colant sensor should be located close to the termostat but not whether it is before or after. I am guessing if after then the sensor will sense the bulk of the engine is cold until it opens, maybe run too rich for too long. At the before then opposite ie sensor thinks the engine is hotter than it is and dials back the fuel before warm enough. Thoughts?
The sensor is monitoring the engine coolant temperature, which is the engine temperature, and as you say it needs to be on the engine side of the thermostat, if used, as otherwise it can't monitor it. Preferably where any internal bypass, which is common on 'modern' vehicles, is circulating coolant past or in the head.
I don't understand the confusion.
Engine side of the circuit. About the only use for the other side would be monitoring when the thermostat opens, not overly useful.