From memory the outer race protrudes about 020 through the back of the chain wheel on mine but you adjust to suit the thickness of friction material in the chain wheel you have, so maybe you press it back out a bit to cover the balls ?
Is the all Metal friction backing plate behind the chain wheel (part 15) in good condition ? without recesses worn into the plate where it fits against the clutch centre?
Are the friction pads in the chain wheel the correct thickness? And not worn too thin?
Asking the obvious....sorry....the inner race of the bearing is definitely back hard against the backing plate? did you trial fit the big clutch nut to force it all the way back?
I have a Draganfly style aluminium caged bearing and my clutch works great, but I can't see how the bearing significantly reduces wobble when the clutch is fully assembled
I suppose a better bearing might help but if it wears even slightly I would think the chain wheel would be free to wobble....