That does look really good now. The water will never hit it even in the outer position but I guess if you store it in closer in position then it will put less strain on transom. I still wonder if in rougher seas if it will dip in and out of the water but I actually think you will be ok. You could always lower it a couple of inches and I still think it will be safe. Cant wait to hear about your sea trial.
Mine is coming along quite well and I think I have solved it. Being a wood man its all made from timber but I am sure it is strong enough. I have managed to store the outboard in roughly the same inner position as yours. I have then made a aux bracket that extends 10 ", which the transom wheel swings past when it has no engine on so will be fixed with a big bolt through the existing 1" hole in the transom. When and if needed, all I have to do is remove the r-clip and washer from the transom wheel up in the air, put wheel in boat, and move engine across 12" onto aux bracket(which will have a leach so cant be lost!). The aux tiller has nearly full movement left and right, not sure about reverse yet as its all made as mock ups at the moment. Will post some pics soon, If I know how?