After the top latch is latched there seems to be a very, very small amount of up and down movement in the barrel system.... no side ways movement... that is very tight. Is there supposed to be a little up and down movement....
Wyattm
No. when they left the factory they were tight as a drum. You snapped the latch in place and there was no play at all. Some play is common with these old guns, it can indicate wear at the latch. It can also indicate too much pounding from recoil from shooting Smokeless loads over the years. The frame can stretch. Exactly how much is acceptable is difficult to say without examining the gun.
I have to ask a question though. Your post states S&W model 3 second model. The Number 3 frame was generic. It simply meant the largest Top Break frame that S&W made. There were five distinct models that used the Number 3 sized frame, the American Model, the Russian Model, the Schofield, the New Model Number Three, and the DA 44. They were all different Calling it the S&W model 3 does not really define the model that you have. Do you know exactly what you have?
If you don't, here is an excellent web page that describes the 5 different models built on the Number 3 frame.
http://www.armchairgunshow.com/Mod3-info.html