Will the bottom pulley swing forward another inch? If so, I'd say you dialed this in perfectly. Looks isn't the issue. You want the chain long enough to allow for a hiccup on the freewheel/cassette and not tear up the derailleur. (That torn up derailleur leads to all sorts of other bad consequences.) But a chain longer than that leads to sloppier shifting on the smaller cogs. Now, if this derailleur is at its limit for swing forward, add links!

If to your eyes, this doesn't look right, well good. A reminder this is a gear you do not want to be in.