1-4-1 is the one and put a sharpened and balanced 637 prop on it a hot plug and the highest nitro you want to run while making sure its getting to temp.  You can pull the head shim and cut the water down to make sure its getting hot enough and make it run better...

On the hull...  I would just spend the extra and get the TS3 although the Hot Shot is tougher the ts3 will hands down be easier to run and handle better.