I notice that with compound words broken across lines protrusion does not get applied. This looks pretty rough when there are normal hyphenated words in the same paragraph.
WE (exaggerated, but demonstrates the point):
\setuppapersize [monarch]Is this expected behavior? Can it be changed?
\definefontfeature [default] [protrusion=quality]
\setupalign [hanging]
\setuptolerance [horizontal,strict]
\setuphyphenmark [sign=small]
\showframe [text] [text]
\starttext
\dorecurse{21}{Multisyllabic||words||separated||by||hyphens. }
\stoptext