Your choice if you want to leave a smoke trail and warp the discs, pedal is set at a position, no touch at all.
And from another poster
Just to understand the situation, take a look at the brake pedal arm forward of the footpeg and see where it is almost touching the frame. The factory adjustment is to have this sitting 1mm off the frame. If you raise it, it will contact the frame after that 1mm and won't move any further up. However, what you will do by continuing to turn the plunger on the threaded clevis at the back is to remove all the "blow-by" in the master cylinder, which is the distance the plunger moves before it covers up the bypass hole to the reservoir and starts pressurizing the system. If you don't have that space, when the fluid heats up under braking the system stays pressurized even when you let off the pedal, and the result is rear brake lockup eventually, fire, brimstone, bad scene man.