The at rest position should be at a slight angle. As the fork sweeps through its arc as the clutch is disengaged the angle staightens out.
It looks like your retaining clip is not fully attached and the adjusting nut is supposed to fit into the large washer. When the clutch is disengaged the 1st couple of times, the washer will swedge the nut onto the rod and lock it. This is why no lock nut is needed.