I never hold a front sight higher than level with the rear notch. The better technique is to keep the sights aligned and aim higher on the target
For some types of matches I actually adjust the rear sight ( not an option for you here) to hit center of the scoring rings of a police B27 target using a neck hold, aligning the sight picture with the location on target the neck joins the body.
I suspect you are not using 158 grain bullets.
The fixed sights are regulated to hit center with 158 grain ammo, I bet you are using something like the very common these days 130 ( appropriate) grain FMJ ammo.
The best bet with these guns is to find a load that hits where you want without adjusting your sight picture then stick with it.
Us reloaders can tailor loads to make this happen if you get a quirky gun.
Even with sky high primer prices, it still makes steady use of a 38 affordable when you reload.