Is there an alternative to touch-automation than AutoTouch?
I don't think there are any other option (cheaper) that I've heard of.  Most of the unique tweaks in the jailbreak world are always priced high.

You should probably tweet to the developer @KentKrantz
and ask him about AutoTouch performance on iPhone 4 running iOS7 or maybe ask him for a trial license after which if you're interested you could buy the full license for $5 which doesn't seem a lot.