Hi, mksj comments about noise are appropriate. Make sure that none of the sensor or Tach wires are close to the motor or motor power wires. If you really cannot do this and do not have access to the shielded wires then we can put a filter at the power input of the Tack and the sensor. That would help to reduce the effect of any motor noise. Do you have access to any capacitors and resistors? Do you have a soldering iron? We might steal components out of some dead electronics, but you will still need a soldering iron and solder. If so I can send you another sketch.
As far as the Blue wires above, I too assume that their is an internal connection between 2 and 3, but who knows for sure what is inside these cheap boxes. I prefer to be sure by connecting them up out side. You can make both connections. I liked the Digiten picture as I know that worked. It clearly shows that for their devices it does not need 5 terminals. The CF5135C numbers and labels are rather ambiguous.