Drumsnguns
The valve adjustment is used to adjust how long the valve stays open after the hammer strikes it. It can also be helpful for conserving air usage.
eg: I was pushing the big fat 50gr .30 cal pellets out at 904fps (MAX!). Hammer setting was max, regulator was down around 100(IIRC), but my valve adjustment was waaaaay out (almost to the point of falling off)! I was experimenting when I did this and would
not recommend these settings. The air consumption was awful since the valve adjustment was so far out. But, the valve stayed open so long that it just kept pumping air down the barrel accelerating the pellet.
Here's what I recommend....
Start a journal with your factory settings, include pictures. Read
this thread as well for tips and tricks.
Leave that valve adjuster between 3-4. Find the pellet you want to use. Adjust your power wheel until you get close to your speed. Adjust your valve setting to fine tune your speed.
Through lots of experimenting, I found that my Impact liked power setting #4 best. It shot smooth and consistent. So, I tried to adjust the valve setting to attain my desired speed.
The Impact has so many ways to adjust that a person could do nothing but adjustments without ever really taking it out to shoot at anything! Consider the power wheel, power wheel trim, valve adjust, regulator, pellet size (not caliber), pellet weight, Pellet caliber.
All of these adjustments and variations affect the overall performance of the rifle. There is an intimate relationship between the bottle pressure, regulator setting, power setting, and valve setting. When you adjust one, it affects another in some way. The trick is to find the settings where everything is getting along with everything else. Then, stars will align, zen will be realized, yin and yang, and every pellet will find the bull.

Tom