You have to grind the driveshaft for clearance, especially at the CV. I'd disconnect the end at the axle, and rotate it and find the spot where it binds at the least angle, and then remove material there. Do it evenly on both sides with a die grinder.
Also, keep in mind when you move the pinion up, the driveshaft moves up to, so you don't need to go quite as far as you think. For example, if the driveshaft between the joints is 2 times as long as the pinion is from the axle pivot point, then the driveshaft will move half the angle you moved the pinion. If its 3 times as long, it will move 1/3. Measure your pinion length, and your driveshaft, and do the math to get closer.
Also, keep in mind when you move the pinion up, the driveshaft moves up to, so you don't need to go quite as far as you think. For example, if the driveshaft between the joints is 2 times as long as the pinion is from the axle pivot point, then the driveshaft will move half the angle you moved the pinion. If its 3 times as long, it will move 1/3. Measure your pinion length, and your driveshaft, and do the math to get closer.

lol.
