That is the usual method for an AE diff. It works for loads of people, though it has always made me wonder if you could flat spot the plates by doing it all the way up.
Personally (2wd diff now) I do it up until you feel the sprng biting in, then put in car with slipper locked and tighten until the diff does not slip, then back slipper off to usual setting so the should always spin before the diff slips.
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