It's not really between anything, it's just the cylinder chamber that leaks. The spark plug hole is where the gauge is attached and doesn't leak there. The cylinder chamber is what is being pressurized with shop air through the gauge. So, lets say that we had a theoretically perfect cylinder where it had no leaks(not true because all rings leak) and we then would add 100psi of shop air pressure to the cylinder. The leakdown percentage would be 0% because it would hold and keep all of that air pressure. Now lets say we have a big hole in our piston so that it wouldn't hold any air pressure, the leak % would be 100%. Now, a real case would be that we add the 100psi shop pressure to the cylinder chamber through the tester and so one gauge reads 100psi, and the other gauge will read 20% and you will hear hissing from inside the motor. This would be a good engine. Make sense? You can google this and find much more thorough explanations. All automotive guys do this test.