Setting up Hornady resizing die

The "distance past touch" is to insure that the flex of the press doesn't effect the sizing.
Horny-day is discounting the flex effect.
You can't push the case any further into the die than the holder/die contact will allow.
If you start with the Horny-day method, you can always set the die deeper IF your cases won't chamber.
Neither method insures that your headspace will be correct for your rifle.

What I prefer, for my bolt guns, is to start with the die set (about) 1/4" above ram contact, than bring it down a little at a time until I just contact the shoulder of a case fired in the rifle I'm loading for. The idea is to only size the case enough to fit into a specific (your) chamber. This is a little more advanced, and intended more for the accuracy freaks (like me).

Edit:
I see you asked the same question on (at least) one other forum (Accurate Reloading) and got basically the same answers as above.

The die and the ram do not need to make contact but it has to be very close. If you are denting shoulders on cases back off the lube especially if it is the glycerin type or back off the die from the ram. Another way to prevent denting is take a look at the shell holder. How tall is it above the groove that locks in the case? If you have very little height above the groove you might get dented cases. Look around and find a taller shell holder.

Or, drop a thin washer on top of the shell holder when their is a case locked in. Check for dents. Some dies are tighter than others and may crush shoulders. Tailgunner has his method. The idea is to resizes cases without crushing the shoulder. Then check for fit in your rifle. It's not rocket science but you may have to experiment a little. kwg