If the vibes go way when you compress the suspension, that my be telling you that your pinion is likely a little too low when at normal ride height. Hard to tell from the pic, but it doess look a little low there.
if raising the pinion back up a little still doesn't fix it, it may also just be that the operating angle is too much.
This is what you're trying to cancel out by setting the pinion parallel to the t-case output.
The problem is at some point, even if they're cancelled out so the pinion isn't being pulsed like a sine wave, is you still have the angular momentum of the body of the driveshaft that's speeding up and slowing down twice for every revolution it makes as it spins, and that change in momentum ends up getting dissipated as vibration felt in the driver seat. I played this game on my TJ trying to get the least possible t-case drop I could get away with, got there, and then the vibes came back after a regear because the driveshaft was spinning faster than before, so I had to do it again and the t-case drop doubled. That's about when I said screw it and ordered a SYE.