I have been led too beleive ATF ( automatic trans fluid) is the best thing for these beasts and is what I use along with most of the Beta owners in the R2wtrials clan I beleive! and have great results, plus it`s cheap!
As for your slight drag as Markymark has said I would take this as normal on the stand I`ve not come across many bikes that you can put on a stand in gear with the engine running and stop the wheel with just the clutch, as long as you can stop with the brake and the engine isn`t stalling or trying too stall too much then all should be well
As for your adjustment I think you`ll find your main adjustment up on the lever that little adjuster screw with lock nut, wind him in or out mainly for your bite point adjustment more than anything though