200-4R Behind a 340 and Reid Bellhousing Build

Sorry guys. Car was in a wreck and has been down for a while. Just getting back to where I can start getting going again on this.

Had to take my transmission back and get it wired for one wire lockup function. It's back now and test fit the converter. A couple of you said I would have to clearance the bell housing but I see no issues with mine. Am I not getting it fully engaged or something? I slid it on till it stopped, rotated and it dropped in. Rotated more and it dropped in further. I couldn't get it to go any further than that. There's not a 3rd drop is there?

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so, how much h.p. is it good for ??