Well the input and output meters tell you everything. The level entering and leaving the plugin. Once you are in the territory of calibration a 0 dB VU ref on a VU meter to a digital reference like -14, -18 or -20 then VU's all tell you a lot. They suddenly mean something.
Nothing wrong with pushing everything in your system way down lower level wise in order to prevent clips anywhere but also just to ease everything off and provide lots of dynamic headroom. But you can go maybe a little too low then you are not even engaging things like CLA properly in oder for them to do what they do. They are
very level dependent plugins and you need to be very aware of what the rms level is running through any of them.
Test signals are very handy. I have some links to them here from my Google drive. These are both pink noise and a sine wave at the -20 ref level. So for other ref levels either add or subtract gain.
Pink Noise file:
https://drive.google.com/file/d/0B_2Jb7O_b5BkanhGUmlTdXZzeXc/view?usp=sharing Sinewave file:
https://drive.google.com/file/d/0B_2Jb7O_b5BkdjdzOHpmSzNvc1k/view?usp=sharing Studio One can generate test signals. But it is good to get them and use them for level checking purposes. These are stereo files and best put onto stereo tracks.
If you put a VU meter on these calibrated for -20 then the VU will show 0 dB VU for the sine wave and about -1 dB VU for the pink noise. The slight level drop for pink noise is normal for this type pf signal.
With CLA this signal should be about 2 dB shy of the calibrated level for -18. So the input meter should read -2 db VU. Crank the input signal up by 2 dB to get it to 0. The output meter should be also be showing 0 dB VU. With music the GR for me anyway is exactly as he suggests between -2 and -3 dB all the time. From there you fine tune the processors. It is not magic but a simple set of processors all set up to do a certain job. Compression and saturation etc.. It is good that you can fine tune some elements of CLA. I like backing off the drive a little for a cleaner sound over a mix. But with CLA on the right type of buss for example it could add some real saturation. The tone controls are just there to fine tune your EQ as well. Don't go mad with those. If your mix is good they should be pretty flat.
K-12 is too loud a ref level to be working at in general. Especially for your DAW sessions. It has the poorest headroom sound or transient sound on that front. You also have to be on clip alert too at this ref level. K-14 is only a little better on that but still better.
(K-14 is excellent for me as my Yamaha digital mixer is all calibrated for this level so everything is perfect inside that at -14) K-20 is excellent for transients and headroom. Everything inside my digital mixer is now 6 dB lower. Easy to convert a pre mastered K-20 mix up to any mastered value. Such as K-10 for a super strong master that is still punchy. But this is not required so much now though. As things like iTunes will turn them down anyway. Better to aim for a K-14 rms mastered level these days as that translates real nice to around -16 LUFS which is perfect for iTunes and many other streaming sites etc..