The tape I used inside the extrusion can be used in that fashion, one side of it has a non-stick strip which, when peeled off, exposes the adhesive. Even though the system says it "cannot be contaminated", I'm not confident it would survive for very long having a chip or two enter the gap, especially on the chuck side of the cross-slide.BTW - M DRO also sells the tape separately. That could be stuck to the cross slide itself for a very low profile installation.
Another consideration is the system requires the magnetic strip to be 60mm longer than the travel distance of the head, this to accommodate the read head's length. While the cross-slide length on my lathe offers a net 85mm or so of overtravel distance, the positioning of the read head on the carriage would be more constrained. I haven't checked to see what I'd have to work with, but I will, wouldn't be the first time I moved a DRO sensor .