You really should down load or otherwise obtain copy of owners manual for Maytag wringer washers. Much seems intuitive, but there are differences between washing with a wringer machine versus an automatic.
Maytag wringers washers you fill with water, add detergent or soap, start agitator, then start adding laundry. You only add enough items that can flow freely, that is things should tumble from outer sides of tub towards center.
See:
A smoking motor could mean something is binding gears so they won't move (which explains why your agitator isn't working), so the bound up motor will start to smoke.
You can find copy of service manual for Maytag wringer washers here:
https://www.automatice.org/cgi-bin/index.cgi?showdoc~1375~Maytag~
From my copy of a later service manual:
Motor:
Over heating, smoking or blowing fuses..
Over loaded - Check clothing load. Should circulate freely in water. Washer should be filled to water line.
Binding condition at some point in washer - Check drive pulley of power unit with belt removed to determine if it turns freely. Repair washer if necessary.
Low voltage
Power unit binding or over loading motor -
Inadequate lubrication because of oil leak or water in gear case - Replace worn or damaged parts. Repack with new lubricant.
Worm wheel damaged or worn - Install new worm wheel.
You may have just overloaded motor and it needs to cool down and "rest" before resetting. Leave things alone for a day or so, then plug in washer, and try to engage agitator, if you still cannot pull knob all the way out or in, you'll have to get underneath washer to see if everything is in order. For that again you'll need repair/service manual.
At risk of being Captain Obvious, are you sure washer was working before it was sold and transported to your home? If it worked before transport, or at least sometime in past with previous owner, then it could be something done during move has caused issues.