I've been playing with my saddle height the last few days. Sheldon Brown says to ride a bit, raise it, ride some more, raise it and do this until you can hardly reach the pedals. At that point, repeat the same process but this time lowering the seat post until your leg is nearly completely straight with a super slight bend.

Weird **** is, my saddle is seriously like an inch higher after doing this and my legs are almost straight but it feels super uncomfortable/awkward. Maybe just because I'm not used to it? I never had any aches/pains in my knees before but I just want to make sure I'm getting the best peddle stroke possible.