You planning on getting the DarkDR for Karn? It seems that it helps out a lot in terms of dealing damage, since Ryu and Karn can deal out a lot of damage combined.
I just finished watching the previous one too. x_x Quick question though. Why didn't you use the D.Hrt against Zog or Sara? For Zog it only deals a bit of damage but for Sara it puts her HP to 1. Would of made the battle much faster honestly. Oh and I think you bought too many Worms before going for the Tonic items but then again, I've only seen up to Mogu learning how to do that drill ability. Guess I'll watch the rest now.
Also, i heard that the Ice Dragon works better for the worm in Arad than the Thunder Dragon, though, i haven't tested so i don't know.
And i guess, that you should aim more for Slam Attacks than Counter, or both in the same turn.
Both would be best if the enemy attacked after the Hero as then the Counter would be a Slam Counter. As for the Ice Dragon, I've never really seen it be more useful than Thunder Dragon, but if the boss is weak to it then i guess that can help(if it deals more damage than Thunder Dragon that is).
I can't personally see any PSX RPGs entertaining as a TAS (except maybe Brave Fencer Musashi), as they are all quite slow (Breath of Fire III, though great, is probably the slowest-moving RPG I've ever played next to Dragon Warrior).
Thing is with RPGs, both TAS and non-TAS runs, the main entertainment is the boss fights, as well as forced battles, mainly due to the luck manipulation involved as well as the strategies used. While in some RPGs, FFV, FFVI, and even the recently finished BoF2, the fastest method would be abusing what the game can give you to instantly win battles(FFV's Blue Magic, and FFVI's Slots), or use the same attack over and over(BoF2's Dragon forms for Ryu). For BoF3, it would require a bit more than just that for battles. While it would be somewhat similar, Garr using Gambit, Rei using Weretiger, and Ryu using a dragon form, the manipulation would be the main entertainment
Anyway this really isn't the place for that kind of discussion.
PSX wishlist for me would be
Breath of Fire 3
Medievil 1 and 2
Megaman 8, X4, and Legends 1 and 2
Syphon Filter 1, 2, and 3.
Quick thing I thought I'd mention. Its possible to have the Hero be nameless. Maybe it could save a few frames. Just thought I'd throw it out there since I saw the Hero had a has his name.