yeah I found those instructions to be very vague.. I asked for help on it but nobody really could give me a straight answer. So take your turbo pipe off so you can stick your finger in there and feel the wastegate. From what I understand, adjusting the head manipulates the "Throw" of the actuator. Adjusting the knurled knob adjusts the tension of the spring and thus boost pressure. If you mess with the head a bunch you will find that you can make it to where when the wastegate opens it only opens about 1/8 inch.. and when the head is turned out all the way "toward the front of the sled", the throw of the gate is opened around 3/4 inch or so.
I think you have the right idea.. On mine the head is only threaded on about 2 turns, the knurled nob is all the way to the lightest setting and then backed out a turn or two in order to keep the valve shut and from fluttering when I let off the throttle. I assume fluttering is bad for the valve.. anyway im not an expert so someone correct me if im wrong. I have just played with it a bunch trying to figure it out. this gives me about 5lb..
maybe try adjusting the actuator to where it's 100% open all the time and see how it runs and what pressure you can get down to. I tried this before in order to tune it and work the bugs out before I bumped up the boost but with the bd intake I found the problem with their intake design was the mag side fouls out from not getting as much air blown into it.