A good standard tension setting is usually around 4.5.
If you find it to be looping on the bottom, raise your top tension. If it's pulling bobbing thread to the top, lower your top tension.
For straight stitch, your stitch width should be set to zero, although on some machines (and I believe your Baby Lock to be one of them,) the stitch width setting will change your needle position.
Stitch length is simply a matter of preference.
-R
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how to set babylock stitch length and width
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