cjrgreen: Difference between a 6870 and a 6950 is currently about $50. I would go for the 6950, which can be flashed to a 6970. But the 6870 is still more than adequate.
I would go with more than 4GB RAM. On a 64-bit host, the game will use 4GB just for itself, forcing Windows to compete with it. RAM is cheap at current prices.
For a Phenom II x4 and 6870 (or 6950/6970), get a substantial power supply too. At least 500W from a good maker. And get a case with good airflow (I like the Coolermaster HAF series for cheap cases).
Avydia: sorry, but i don't understand how 8GB RAM would improve the game's performance...
The reason for more than 4GB RAM is the behavior of "large address aware" (LAA) programs on 64-bit Windows.
A 32-bit LAA program (TW2 is one) can use up to 3GB on 32-bit Windows but up to 4GB on 64-bit. That's good, means you can keep more of the game in the working set.
The problem is, TW2 is not the only thing demanding memory. Everything else in userland, including parts of Windows itself, is going to compete for memory. This will result in TW2 and other userland programs stealing memory back and forth, and TW2 will have to reload memory that it steals back. Now you get "hard" page faults, the disk gets involved, and the disk is the slowest component in your system, even if you have an SSD.
There's also the 4GB limit to think about. That limit is only the memory that can be in the working set. You can actually use more than that, but you have to do it by stealing pages from yourself. This is not as bad as it sounds: if you have a resource on a page, but you have to page it out to make room under the 4GB cap, it doesn't actually go away. It becomes available for page thieves, but if no page thief needs it, it doesn't get cleared. When TW2 wants that resource back, Windows is smart enough to know it's already loaded, and it comes back in via a cheap "soft" page fault.
Thus the general rule for configuring memory for a real-time system: you should have enough that you don't have to use the disk while your important program is running. On a Windows host that runs 4GB LAA programs, that size is
greater than 4GB, preferably a good deal greater.
Since the pricing on 2x4GB kits of RAM is very favorable nowadays, there is little reason to go with less.