Now, some people will claim that having 8-character indentations makes
the code move too far to the right, and makes it hard to read on a
80-character terminal screen. The answer to that is that if you need
more than 3 levels of indentation, you're screwed anyway, and should fix
your program.
I do agree that there comes a point where you can get over zealous with indentation, but 3 levels deep is pretty common. In fact you idle at one level of indentation just with having your code inside a function. So basically all you need is one conditional inside a loop and you're already maxed out.
Now, some people will claim that having 8-character indentations makes the code move too far to the right, and makes it hard to read on a 80-character terminal screen. The answer to that is that if you need more than 3 levels of indentation, you're screwed anyway, and should fix your program.
And I think I kinda agree with this.