The atrophy as evident in your X ray can be attributed to atrophy of muscles/ soft tissue
around the shoulder joint.
Your symptoms are secondary to the above mentioned cause which has also resulted in damage to the nerves passing through that area.
Symptomatic relief can be obtained with analgesics like Diclofenac
& nervigenic agents like Vit B12, B6 & Folic acid
exercise will also be helpful.