Hmmm, I was thinking that lifting the front end would change the angle of the drive shaft. As I crank the front end up, the front diff goes up as well. Now that I look at it, the angle is changed at the CVs, making the actual pivot point at the inner CV joint, not transfer case like I was thinking.

Looks like I am screwed.

On a happy note, I got the drive shaft out, soaked with PB blaster last night, had to pull all the skid plates off, chisel and hammer...POP! Came right out. It does seem a little peppier, but that may be psychological. Still making creaking noises. I had the wife slowly back in and out of the driveway, still can't tell where its coming from, its not the CVs, since they aren't turning, sounds like its in the suspension, but nothing is moving that I can see and I really can't pinpoint the sound. Perhaps it could be a bent shock? My rear drive shaft should be done tomorrow. I will swap that and see if the noise goes away. (extra drive shaft lol. I could see some folks wondering "How is he test driving with no front or rear driveshaft?")