And what would you expect to see if you were on that cloud (suppose you can fly)? I think you would see the sun slightly above your eyeline, exactly as the FET predicts.
Of course, then you wouldn't even see the clouds under you (just like when you are in fog, you can see the fog only far away). But if you moved even higher, you would see the clouds with the top being illuminated (and the sun even higher).
I am not a scientist, I am just applying basic common sense.