If the block was line-honed, the chain will have more slack than stock. But this looks fine. If worried, put a Mopar Perf chain tensioner on it. That will take up all the slack and keep the chain from whipping. Did it on all my 340's.
You would think (or - I would think) that there would be more options for undersized chain sets for the past dozen or more years given the likelyhood of engine rebuilding (and line-honing) would be increasing for these engines.