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Health is good, but armor is arguably better, especially in icecrown.
Armor is better in a time-to-live sense, but that doesn't make it ACTUALLY better. While your health pool remains low, it actually isn't that great a stat at all. Because if 2 hits from a boss will kill you, your healers HAVE to keep you topped off. Armor would only help if it means those 2 hits become 3.
So, once your health gets higher, armor gets better. At some point, it will surpass it in usefulness (at least, when considering a physically-intense damage scenario like most ICC bosses). But for a raid like ToC, health is going to end up being much better for many fights.
It's for this reason that I wouldn't use the keystone ring. The armor is really nice (and I'm the kind of person that loves passive mitigation), but if you only have 35K base health, I'd take the increased stam and avoidance (and strength) that the Titanium Earthguard Ring offers, even if it means losing that 3% increased Time to live that the 500 armor would give.
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you aren't likely to have threat issues in raids if you have at least one rogue or hunter present, and dps can always back off if push comes to shove, whereas healers can't exactly bring you back from a negative health pool.
If you are PuGing raids, go for the threat enchant. You won't be able to guarantee those threat tools if it isn't a set raid group. You may end up in a 10 man without any Rogues/Hunters (or the ones you get may suck). 250 armor is only 1.5% or so increased time to live. Not worth chancing it, imo, without a raid group. And as I've said, the armor isn't useful when you are at the lowest level of gear for that raid.
[EDIT] And let's be honest--are your PuG DpSers ACTUALLY going to lay off? Probably not. They're gonna pull threat, die, possibly wipe the raid and then everyone will blame you. Because the world's just fair like that. [/EDIT]
Just an example:
Say a boss uses all physical abilities. Buffed, you have 40K health. His auto-attacks do 15K damage each (after mitigation). With that extra 500 armor, they'll do SLIGHTLY less. But it doesn't really matter--you are dead in 3 hits (without any specials used) regardless. If you have 45K health, buffed, though, then the little bit of armor will push you into the 4 hit range. Which is very useful.
When bosses use smaller damage auras/DoTs that are physical in nature, armor is also better. But not many do. And I'm not sure there are any in ToC. And some of the physical damage here ignores armor anyway, like many of Anub's abilities.
Armor is nice, but not something you should focus on when just starting.
Edited, Jun 9th 2010 3:19pm by idiggory