Looks like I have narrowed it down to the scope. I took the gun apart today and checked the hinge pin in both pieces separately. It was really tight on the outer section and just snug on the inner section alone. I took the scope off and went to the range near my house. I set up with open sites at 50 yards and dropped in two pellets just to start. I shot three rounds all they were all within an inch left to right and about two inches from top shot to bottom. 10 times better then I was grouping with my scope. Sucks I have to spend some more money on a new scope but better then sending the gun off somewhere and having it fixed.
I know many of you swear by loose powder but if I can get consistent groups with the pellets I will likely continue to use them. If I was competition shooting it would be one thing but for deer hunting if I can keep them within a 2-3 inch group, then the convenience of the pellets out way the slight accuracy gain I will keep. Once I get a new scope on and move back to 100 yards or so I will see how the accuracy is with the pellets compared to loose powder.
