Try our new info resource - "Aladdin's Cave" (Main menu)Just added a separate link to Ash's Dropbox thread (shortcut)
I'm still going to tell you, the switch is in the WRONG place. It meant to sit inboard of the main switch, on the small piece of bar which is still flat. If the gap is still left there between the grip and the switch I'd suggest you have the wrong grips, there is no gap there as standard, have you measured the grip and the amount of bar protruding when the switch is located? are they the same? although you say it's staying as it is consider this, the switch was introduced to stop the lights being accidentally switched off, as in the K0 switchgear, it's entirely possible you'll knock the switch going for the indicators etc and end up with no lights on a dark country road and I'll leave you to think on what may happen if that does occur. It's your bike but to me it looks horrible fitted there.
On my UK spec CB500 K1 (that I believe has the original handle bars and switch fitted) the headlight on/off switch is located inboard of the left side switch cluster. I also owned two new bikes of the same type in the 1970's and on both the switch was fitted as mine is now, inboard.