NO!!! In ideal world, yes. That yellow dot
should represent lightest spot on tyre. But... it's applied by humans and results vary based upon if it was done before of after lunch break with liquor! I've found them to be off by 30-90 degrees in most cases. So here's my "optimum balancing" procedure that yields lowest amounts of weights needed for any given wheel+tyre combo, often just 1/4 or 1/2-oz. Many times, I need zero weights to get optimum balance because tyre's heavy-spot cancels out wheel's heavy-spot. Trick is finding where those are...
1. spin bare wheel on balancer to find true heavy-spot. On manual balancer, spin it in both directions multiple times and average out lowest spot which will be wheel's heavy-spot. Mark this heavy-spot of wheel (see photos above. Note that's it's
not automatically at valve-stem like most assume). Here's another example of wheels' heavy-spot
not being at valve-stem.
2. balance bare wheel. Verify by spinning it both ways and having it stop at random locations based upon when drag in balancer bearings stops it. Now you've got perfectly balanced wheel with no heavy-spot. Note where weights are located relative to valve-stem... not exactly opposite like you would think. Assuming heavy-spot is at valve-stem without checking will end up having you use extra weight to balance final assembly.
3. install tyre any which way and spin it in both directions to find actual light-spot on tyre itself. Note that it's most likely
not at yellow dot. So... ignore yellow/red dot, it's not accurate. Mark actual light-spot on tyre that you found.
4. unmount tyre, remove balance weight from rim.
Re-mount tyre with marked light-spot lined up with marked heavy-spot on wheel. This places actual heavy-spot of tyre opposite actual heavy-spot of wheel and they cancel each other out.
5. do final balance of complete assembly, verify by spinning in both directions.
You'll find that this double-mounting procedure will result in optimum orientation of tyre on wheel for lowest balancing weights needed. It'll stay in balance better throughout life of tyre and never needs rebalancing common with quickey lazy methods. I'm pretty hard on my tyres and bikes. I'll track everything, even my ST and pin it @ top-speed every lap! I'll off-road it doing jumps and take it through creeks and river crossings! Sometimes, this will knock wheel-weight off. If there's mimimal weights installed in beginning, losing them won't throw assembly out of whack too much.