I'd say it depends what you want to do. You should always minimise the total overhand from the tool edge to the base of the top slide as a matter of practice but it's less critical for light cuts than it is for roughing and particularly parting off. I'd think that for an ML4 you need every opportunity to maximise rigidity. That also extends to making certain the gibs are well adjusted, particularly around the travel position where most cutting is done. As for whether the situation you sketched is OK, it may be fine, depending on the job and your approach to it.
My first lathe (Portass S) only had a single slide, so actually benefited from reasonable rigidity (it's all relative). It's something I've just replicated to some degree by eliminating the top slide on my Bantam. Time will tell if the loss of the topslide (only used for chamfering, threading etc) is a price worth paying for the resulting increase in rigidity.

Murray