What upgraded CDI did you buy?
The one you have is an integral unit. I've seen them before, never really messed with one though.
The concept is still the same though. The integral one just has the magneto built in to the CDI. If you get an external CDI, you must get a magneto pickup.
This goes inside the cover where your picture is showing:
http://www.gasbike.net/sparker-wire-magneto.html
This bolts somewhere on the frame:
http://www.gasbike.net/cdi-coil-48-prd1.html
The wiring is stupid easy. Black to black, blue to blue. There's a ring terminal on the pickup that connects to ground (one of the mounting bolts) The white wire is unused. You can wire the kill switch to both wires. When you push the button, it closes the switch and shorts the pickup out, killing the engine.