Recumbent setup is just like DF setup except rotated backward. It wouldn't be considered good fitting if your knee could lock out on a DF. Same thing here. A common test for fit on DF is to pedal with your heels on the pedals. Try that with the recumbent. You should then not be able to lock your knees with your feet in the proper position (pedal axle under ball of foot). Yes, raise the handlebar if your knee hits it. You want to be able to see though. Some riders have to fudge this. I don't know what kind of recumbent you are working with (SWB, LWB, etc.) they all have different geometries.