Hey guys I'm just wanting to learn a bit more about the clutch. Inside the clutch cover there is the long pin or what ever its called that goes into the engine block and on the other end goes into the clutch arm that moves up when you squeeze the clutch lever. My question is how does this disengage the clutch as the pin turns freely and comes up there seems to be no pressure on it. Thanks

The pin pushes in, doesn't turn.
Maybe the exploded diagram would help.

Ah ok, so why when you pull the cloth lever does that arm move up?

The magic of mechanics.  If you really want to know, pull it apart. Not being a smartass-- it would be easier for you to understand by seeing it than for me to explain it.