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Little late to the party but high and tight is the way to go. The angle of it should have a relationship to the other angles when seen from the side. You pointed out the angle of the taillight lense. I think that's probably the most related angle. The little relationships make things like this tickle the subconscious asthetics. Makes some of use stare long enough to figure out why it looks right.
As for aero concerns, anything is better than nothing. The more upright, the more drag. Moving it high and tight to the grill will also make it more effective because as you move it back further the air flow is "less clean". Although separation has occurred well forward of the grill you still want to give the tail more of the "less separated" air.
The ducktail never generated down down force; however, it reduced lift. Lift due to the lower pressure behind the point of separation.
With the reduced size a more upright position likely won't hurt you...so go for the aesthetics.
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