New external regulator

[External]

I need some help. I'm having fits.
I had a whine in my truck after installing a new alternator. It is externaly regulated.
Wired it up just like the diagram. See pictures.
I isolated the whine to my voltage regulator.
Ok, bought new one. And watched it closely as I cranked up the truck.
It started to smoke. Now I'm guessing it will burn up and begin to whine just like the old one did.
What have I done??!!
The alternator i got is a powermaster 60 amp.
Do I need a higher amp regulator?
Is it that simple?

Now if I unhook the white/blue pigtail from the alternator the regulator stops smoking. I think it also stops working. But I don't know. I ran the truck for a few days and my battery went dead. Thats why I think its not working.
Does anyone have any ideas? See pictures for reference.