hi steve,you can certainly publish your shapefile data in WGS84. the reason it is often suggested to reproject to web mercator is so that you can mash things up with google/esri//bing/osm without asking your own dynamic map and feature layers to reproject on the fly. depending on the data you are trying to display, this can give a noticeable performance improvement.the blog you linked warns specifically about caching services in a projection other than web mercator. this is because it is NOT possible to overlay two different tiled map services that use different coordinate systems.
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