I just did the wife's touch (she had serious touch pro envy) and used this one:
http://forum.ppcgeeks.com/showthread.php?t=36924
"[UPDATED 9/30/08] v1.6 WDM's M2D Diamond ROM w/ UC!!!"
The Diamond rom won't work, its very different hardware.
The WDM rom above is a very stable rom, very snappy, and nice look. gadgetfreak pointed me at that! If you search ppcgeeks for gadgetfreak taskbar you will also find his posts on getting "cooler" icons on the taskbar instead of the flat white ones. I did that too but have to admit the effect on the small QVGA screens is not as nice as on the Touch Pro/Diamond VGA screens.
Do the WDM rom for sure, it will get you everything you want with no effort at all.