Probe should be placed outside the enclosure, between the UTH and the bottom of the tub.
Thermostat should be set to something around 91~93, to make a hot spot inside the tub of 90~92, when measured directly on the surface (no substrate). So if the snake burrows under the substrate, the temp is still safe.
All the info you need about temps here: http://ball-pythons.net/forums/showt...ius)-Caresheet