This has now been added to the DDO Compendium Under Reaver's Refuge Crafting..
Best source -> http://ddowiki.com/page/Dragontouched_Armor.
First off you need 50 Draconic Runes to buy Dragontouched Armor.
You must have completed Stealer of Souls to spend Draconic Runes.
Extra info at the bottom of this post!
Where to get Draconic Runes:
1-3 from named chests in Aussircaex's Vally/Soami Gardens/Mount Reysalon.
25 From a Siberys Dragonshard Essence turn in.
25 From a Khyber Dragonshard Essence turn in.
50 From a Eberron Dragonshard Essence turn in.
50 for your end reward from Stealer of souls.
Then talk to Vorace, he's across from the stormreaver that gives you fly. By the mail box.
Vorace Sells the Dragontouched armor and Eldritch runes to upgrade your armor.
Draconic Runes needed for trade:
50 = 1 Dragontouched armor.
50 = 1 Eldritch Rune.
The runes from Vorace are random.
Where to Get Upgrade Runes:
1 Eldritch Runes - Enter the Kobold.
1-2 Eldritch Runes - Monastery of the Scorpion.
1 Tempest Runes - Prey on the Hunter.
1 Sovereign Rune - Stealer of Souls(must kill Sor'jek).
Combining via Rune Alters:
3 Eldritch Runes = 1 Tempest Rune.
3 Tempest Runes = 1 Sovereign Rune.
Greater False Life
Greater Resists(5 Runes)
Healing amplification 10%
Imp False Life
Incite +10%(+10% Threat)
Stat Skills +3(6 Runes)
-5% Arcane Spell Failure
+1 Excep Stat(6 Runes)
+6 Stat(6 Runes)
Corrosive Salt Guard
Crushing Wave Guard
Efficient Metamagic - Empower Healing 2
Healing Amplification 20%
Incite +15%(+15% Threat)
Magma Surge Guard
Spell Pen VIII
-10% Arcane Spell Failure
+3 Dodge(Doesnt stack with Chattering Ring)
+4 Natural Armor
Earthen Guard (procs Stoneskin, caster level 7)
Freezing Ice Guard
Glacial Assault(Sup Glaciation VIII, 3 piece set)
Greater Combustion VII
Greater Elemental Energy[+20 hp](Doesnt stack with tier 3 shroud hp)
Greater Elemental Spell Power [+100 sp](Doesnt stack with tier 3 shroud sp)
Greater Potency VII
Greater Spell Pen VIII
Heightened Awareness 4(+4 Insight AC)
Imp Glaciation VIII
Imp Resonance VIII
Incite +20%(+20% Threat)
Levik's Defender(+5 Insight AC, 30% Threat, 3 piece set)
Lorrik's Defender(Sup Devotion VIII)
Melodic Guard (chance to dance on hit)
Smite (smite on melee attacks)
Sundering Ooze Guard
Superior Combustion VII
Tharne's Wrath(Feather Falling, 3 piece set)
Once you get these runes you go the the place where Vorace is and there will be 3 alters, Eldritch, Tempest and Sovereign, then put your Dragontouched armor and the Rune in the proper alter and hit forge.
If you dont get what you want that first time just get another Rune and try again, you dont need new armor.
Runes are set once you get them, like if you some how get 2 of the same rune they will stack in your inventory.
If im missing any, or some of these are wrong or you find a new one post here.
Also please dont post unless your sure it came from that rune as I'v seen ppl post resistance +5 coming from tempest.
Only have to turn Gems in once.
You have to turn in Essences every time you run Sor'jek.
Gems found in Aussircaex's Vally, Soami Gardens, Mount Reysalon, Desert, Giant Hold and Orchard, they drop out of named mobs treasure chest in those zones.
Essences come from Enter the Kobold, Prey on the Hunter and Monastery of the Scorpion
Theres no tiering with dragontouched pre-say, like you can put a Sovereign or a tempest on before a eldritch rune.
You have to have completed Stealer of Souls to spend Draconic Runes.
If runes Stack they are the same effect.
The runes you buy with draconic runes dont have a set order.
Take your armor off when you put a new rune on, other wise it wont show the change.
You can still do it while wearing it, but you have to take your armor off then put it back on for it to show the change.