I was reading The Seoul Survivor and they stated that touching a Korean is the "ulimate Taboo." Is that true?

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Ultimate might be a little harsh. But, yes, touching a stranger, male or female, is not a good thing for foreigners to do.
Now, on the other hand, Koreans will quickly surround a foreign child, particularly blond or blue eyed, and they will touch the hair, and sometimes pick them up and, country folk might even "fondle" them. That is something I spoke of once before. Among the older generation, that was usual and acceptable.
Once a person is introduced, they warm up quickly, as a rule. Girls will often want to touch your arms in short sleeves, as hair on the arms (or legs) is something foreign to Koreans. So, in general, proceed with caution. Touching strangers is a bit intimate in most countries, isn't it?
But I am still an old waegook, so let's get a Korean opinion on this, please?

Not a good thing to do. It's kind of like pretending to grab a child's nose, squeezing it some and placing your thumb between your figures toshow that you have the child's nose. It's definately beatdown material by some.

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Mike, even if you're good friends with someone, touching or jokingly hitting someone's head is a huge faux pas. I know people who get extremely irritated or upset if they get hit on the head... it's considered very derogatory.

The title read "the head", but your post says just "touched"...We're talking about touched in the head, right?

Is it only a Korean or Asian thing? Unless it's a significant other caressing your hair or someone giving you a haircut, I'd generally think it'd be pretty annoying to have a head messed with...Korean or not.

It is one of those Taboo things and it is a matter of getting to know the customs. I was a little freeked out when I first came to Korea in the 70's as I saw 2 teenage boy holding hands walking down the street and an Older Korean man just whipping it out and pissing in a ditch. I was lucky and there was someone on the bus that took the time to explain that these things were normal but it is something that all should be instructed in before adventuring out. I believe Mr Joe has touched on it in his thread on How do we keep Underage troops in LIne?

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Just my humble opinion!