Your tach needle is in the correct position, however if your experiencing roughness in the idle, I'd first inspect for a vacuum leak. There are several small hoses and fittings that come off the main intake elbow that can cracked.

How many miles are on your sparkplugs - over 75,000 miles? Do you use fuel additives? Are your drives generally short trips? A yes to any or all of those questions might indicate time to change the plugs.

2002 X5 3.0 273,870 miles
2004 325i 118,000 miles