It looks ok to me... What is the total sag (static and with you sitting on it)?
Static is the machines weight compressing the spring - compared to you lifting the back end all the way up.
Then the sag with you on it - compared to lifting it all the way up (fully extended)
They generally say 30% sag is good...anywhere between 20-40 is probably ok as long as you are not bottoming out your shock constantly. If you are, then crank the preload back down a few turns until you are not bottoming.
I prefer to keep ride height a little on the low side, so usually my sag is 30%+ front/rear, but then I run the compression a little stiff to make sure I dont bottom it.
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