When I paired Red and the S&S it was stock and like yours I had almost 4" of squat with the TC. The truck handled fine as it was, but like you I wanted to sit level at the least. I had bags on my last and didn't like the ride so I went with upper Stableloads, that was in 2011. Those along with Bilsteins is the only mods done to the suspension, and I couldn't be happier 7 years later.
Red drops 1.75" now with the TC and has a little rake, and handles better. My ride empty is no different than stock.