This whole issue of a "dry" approach to the Baroque literature and the use of pedal, or the "wet" approach is really rather nonsensical. It's a matter of personal taste. If you want to sound like Gould with the emphasis on articulation, go right ahead, but you better have his genius to keep it all from sounding like a typewriter on steroids.
If you favor the coloring and shading of music, then use the pedal. Judiciously and correctly, and in any period of music, you can't go wrong. Blurring harmonic changes in Baroque or Classical (unless, in Classical, such as Beethoven, where he wants it) is just poor musicianship. Your ear should tell you what to do: clarity with a nice wash of supported, resonant sound is what the piano does, right? Use it that way. Bach wouldn't complain, certainly. Scarlatti won't sue.
And, then, again there's the complication of a resonant hall: use your ear and decide whether pedal hampers your sound by making it flabby or enhances it. So many variables and so few rules. Just listen to yourself. Make it clear, but make it beautiful.