Here are those long awaited photos, finally got my Allen key set back. It's real nasty in there I'll give it that. But the noise it was making was like it was about to lock, kind of like the engine was off center and it was gonna pop off, which it isn't.
i can see how it doesnt look tight in that photo but that is because the wheel was back all the way. I have been running my chain at this exact length with exact tension settings for over 5 months, if you take the tensioner off you cant put the half link on, and before anyone says to bring up the little tensioner wheel, its stripped.
Oh crap, sorry. I'm on my phone. In the thumbnail your carb and intake looked like a rear shock.
When your chain is loose like that, it slops up and binds above and in front of the sprocket on the motor. You can get a little doohickey they sell on ebay to prevent sloppy chain lock up. I am sure someone else can find the link. I am unable to at this time.