Roman blinds, inside or outside recess bit?

[Karbea]

What looks better?
I was thinking outside, but just got home from my in laws and theirs are all inside...
My windows are all in dormers, with about 3inches either side outside the recess before the dormer bit.

I'd do inside the recess provided that there is enough space above the window to attach the baton of the blind. also provided that it's a sash or outwards opening window - if the window opens inwards you'll have to do the blind outside the recess.

I think they are supposed to be inside. Mine are outside however and look fine.

Inside looks better as you see less of the "workings of the blind when it is up.