A quick and dirty method is to mount a solid block in the tool post and use the cross slide dial to measure the error when it comes up against the job. The morse taper drill holder out of my Dickson collection does the solid block bit just fine. Its never used for its intended purpose so its nice to find job for it.
Set one jaw horizontal, butt the block gently up to the job and set the dial to zero. Spin 180°, bring the block up to the work again and read the error off the cross slide dial. Set cross slide to halve the error and adjust appropriate jaw until the workpiece contacts the block. You may need to spin back 180° to find clear air for the workpiece move. Repeat with the other two jaws. Check and re-adjust if needed but you ought to be within maybe a couple of thou TIR first time round. Under a thou? Call it good and don't waste money on a lottery ticket this week.
Block is better the a tool tip because it doesn't mark the work and always contacts on a diameter so the "measured" jaw pair offset errors are independent.
DTI on a mag base is my most used method, primarily because nearly everything I haul out the four jaw for has to be tenths accurate.
If your chuck guard is of the type that mounts to a rod running parallel to and above the bed an indicator can quite effectively be fixed to that rod. My SouthBend Heavy 10 had that type of chuck guard. I made a double pivoting clamp to fit the fine adjustment arm out of an economy mag base set and mounted a lever indicator off that. Worked OK but it may be instructive to note that the Smart & Brown 1024 that repaced the Heavy 10 has the same style of chuck guard yet I never bothered to make the minor modifications needed for the transfer. Primarily because the 1024 has plenty of nice flat cross slide area to hold a mag base whilst all the convenient location on the Heavy 10 were sufficiently curved to seriously weaken the grip of a mag base.
Clive.