You have hung the rod correctly, but the sheers are too short.

Textured roller shades can take care of the light and chill. Replace the sheers with the correct length and then add patterned sheers. You can do it with the one rod...patterned sheers go on first. It will look luxurious.

Not lovin' that heavy bench at the bottom of your bed....have you got a mudroom or a back hall?

Option 1) Perhaps put a roll up blackout shade, made to fit your window. Keep it open until bedtime. It will show through the sheers but if it’s only used at bedtime it may be ok. Won’t help much with mouse or temperature. Option 2). Buy or have made heavy blackout drapes in a nice fabric, touching the floor. Use a double rod and put your sheers on this second rod underneath the blackout drapes. Sheers and blackouts can open and close independently, as you wish.

More luxurious would-be panels 2 1/2 times the window.

Thank you so much! Great advice. Sheers are temporary for sure, I will get some that hit the floor and the textured shades are a great idea. The bench is sort of a remnant and I don’t have a good place to put it but boy does a vintage cedar Lane chest have some good storage for linens and extra sheets with zero moths. will probably pop it in the garage!