Yeah, I think there's still a ways to go for combat. We still don't have the other aspects of it (Mounts, Magic, Pets, ETC) so we're really only looking at this from the 'honorable' melee 1v1 and occasional mob brawl.
More on topic and my 2 cents:
It seems like there are 3 things that should determine how much damage a weapon should do: Hands, Weight, and Damage type.
Two handed weapons, heavy, blunted weapons should be the winners when dealing damage through a parry.
One handed, light, slashing damage should do the least. (Piercing seems like it should be in the middle somewhere to me.)
If this system were to go through, there should also be something to negate damage from the side of the person doing the parry.
There are 3 weapon attributes that seem like they would modify this: Shield, Hands, and Weight.
A person with a heavy shield is going to be able to negate a lot of damage, while a person with a large two hander can negate a bit and a light one hander should focus on dodging.
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A little off the topic
There was a double tap mini leap dodge in mortal online that I liked (don't know if you could rebind or not).
I don't know if this is in game now, but if someone swings and misses, there should be a small moment before they can do something else. Swinging a big sword with the intention of hitting something then missing should give the player who dodged the chance to retaliate. All this depending on the size/weight/handedness of the weapon the opponent missed with. Maybe there already is there and I just haven't noticed.