after secured(depending on distance between gears) chain should be taunt enough to pull/push a total of no more than 3/4"...so, pull chain up....then down... the 'total' distance...anymore than that n your risking chain slippage.
This is just how "I" do it. I feel the 'looser' the chain the less chance of binding/damaging the clutch. Ive seen em so tight you could tight rope walk across em... then ive seen em so loose, as driven the chain would actually 'wrap' somewhat, 'around' the clutch sprocket from the torque...
I'm guessing it's all in 'how' you drive and the terrain. Karts dont seem to have a 'precise' form of "way it's SUPPOSE to be...", w/ the exceptions of the laws of gravity/physics/inertia... n probably acouple other 'laws' Ive attempted to break(amongst other ppl).
....(this is just my opinion of the chain subject)....