Several years ago I helped develop a UI in VB for use with a touch screen. Basically, a touch to the screen was the same as a mouse click. So, rather than focusing your question on "technology" for the touch screen, focus on what is best for the application...
One thing to keep in mind is how large the areas need to be for someone to touch them. A mouse allows pretty accurate clicking, but fingers need a larger "target" to hit accurately. Related to this is the space between "targets". With a mouse it's obvious where you are clicking, but with a finger it is easier to accidently hit buttons that are too close to each other.
Hope this helps...