I don't think there's any harm in towing with a slight timing advance. But it has to be slight.
I've been told by Don M (IIRC) that the HOs actually have a little less timing than the SOs (probably to offset the higher CR somewhat).
Thus, a slight timing advance on an HO won't hurt much. Be aware though, that timing has LOT more effect on cylinder pressure than does CR.
I have read Bruce Mallinson's articles at length, preaching high HP through retarded timing, lower CR, and more boost.
While I think Bruce is correct, I don't think that the same methodology applies necessarily to BOMBing.
Let me clarify-- if you are towing HEAVY, and all the time, then yes, follow Mallinson's recipe.
But for big power at lighter loads, I think that that the engine can handle more CR and a little more timing.
Timing should be changed in very small increments.
Those who have driven a MAD ECM (marco's Catcher) would tell you that advancing timing can be a good good thing.
That said, I think I may be going with a TST for my fueling... .
JLH