You have adjusted them correctly. Your pedals pivot off of the frame where your brake master is located. It sounds like you don't have a return spring on the pedal arm. There isn't much free play if any on these older jeeps, but the spring should add some as it will pull the pedal all the way up. A popular upgrade is to switch to hanging pedals from a later jeep. Best fit is 72-75 pedals, 76-86 cj and later wrangler pedals need cut and shortened due to differences in the floor board bends. use your current brake master and mount it to the firewall.