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Hello and welcome to the site. For 1979 - 1990 trucks, the Cold line of the gauge represents 1,365 Ohms across the sender. Pick up a 100-ohm resistor from a local electronics supplier. Unplug the sender and connect the resistor between the sender wire and a clean ground. Switch the ignition ON and the gauge needle should move to the center mark. This will tell you whether to focus your attention on the gauge and wiring or the sender. Did the replacement gauge have a ceramic resistor attached across two of its terminals?
The 18-gauge copper wire isn't special, but the insulation is spec'd as SXL. SXL is used because of its greater temperature and ozone tolerance than standard parts house PVC or GPT insulated wire. If using other than SXL, it is best to shroud or insulate the wire from the adjacent exhaust manifold.