Red Dragon and Black Dragon
• Breath attack
• Immune to spells level 1–3
• Breath attack
• Immune to all spells
• Hates Titans
"Red and black dragons with their great mobility, flying ability, and powerful breath weapons are among the most effective units in the game. Red dragons are immune to spells below level four. Black dragons are twice as durable, do 150% damage to... titans, and are immune to all spells." RoE manual
This spell immunity is a double-edged sword, though, as it makes both Red and Black Dragons immune to most beneficial spells, and Resurrection has no effect on Black Dragons. Placing Red or Black Dragons (as well as any other living Dragons) in the Skeleton Transformer will give you Bone Dragons instead of regular Skeletons.
Both dragons are affected by Dispel.
Though it is stated in the manual, Black Dragons do not hate Giants. Red Dragons don't hate anyone.
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Together with the Titan, the Black Dragon has become a symbol of the Heroes series since it first appeared in Heroes of Might and Magic II: The Succession Wars.
In one-on-one combat with no stats bonus, a Black Dragon barely defeats a single Titan. However, a difference of 1 more attack or defense for the Titan makes them win instead.
With the health value of 300, Black Dragon is one of the toughest creatures in the game. In the original Restoration of Erathia, it was the toughest of the dragons and its health was only matched by Titans' and Ancient Behemoths' (and by Haspids' in Horn of the Abyss). It also has more defense than either of those creatures, but not necessarily by much. Armageddon's Blade expansion introduced four new types of dragons, Faerie Dragon, Rust Dragons, Crystal Dragons and Azure Dragons, which all are neutral creatures and have more health than Black Dragons.
While not having the highest damage of a level 7 creature, they still have it higher than most of them, accompanied by the Breath attack ability, which lets them strike two units at once. They also have a respectable attack value, but lower than the Gold Dragon's by 2. Black Dragons also deal 150% damage against Titans. Hate works even if Black Dragons attack another stack, and Titans are behind the target; however, if you have both Titans and Black Dragons, you should be very careful as if Black Dragons attack their own Titans, the latter will still receive 150% damage.
Efficiency and cost
To build the base dwelling of this creature, all other base creature dwellings are needed together with the Mage Guild level 2. However, unlike their nemesis, the Giants and Titans, the dragon's base dwelling requires much more valuable resources, which usually results in getting Red Dragons later than someone would get Giants, and also having less of them to upgrade in the upcoming weeks.
Beware of running out of sulfur . Resource Silo would be useful.
Because of the Black Dragons' spell immunity, they are suitable to be used in tactics often called dragogeddon. In dragogeddon, a hero with preferably high power skill and Armageddon spell attacks with an army only consisting of creatures immune or very resilient to the Armageddon spell. The tactics may be used in "hit-and-run" tactic, to advance through wandering creatures or even to slay enemy heroes. In Restoration of Erathia series, Black Dragons were the best creature to use in dragogeddon. Note that Red Dragons are useless for Dragogeddon, since they are immune only to 1-3 level spells!
The benefit of using Black Dragons in this tactics is their high initiative, in other words, their speed. Only Phoenixes and Gold Dragons are faster creatures that are immune to Armageddon. High initiative enables hero to act first in the combat, and this way possibly win the battle before enemy gets a chance to flee, surrender or otherwise cause resistance. Beware of breath attack which may kill your own troops as well.
Even so, the Black Dragons is technically an excellent fighter, being able to reach the enemy shooters the first turn, but they won't last too much against an army with similar strength, since they can't be normally resurrected, so they have to be well backed up by other friendly troops.
The Red Dragons, while being not as powerful as the Black Dragons and being vulnerable to powerful spells such as the Armageddon, the Implosion, the Chain Lightning, the Meteor Shower and the Berserk, can still be extremely effective. First, when they are led by Alamar or Jeddite, they can be easily Resurrected: having 180 HP, the Red Dragons are nearly twice easier to Resurrect than the Titans, and with enough mana the Red Dragons are next to immortal. Second, the Red Dragons hit nearly as hard as the Black Dragons, and they can be affected with the spells like the Counterstrike, the Fire Shield, the Prayer or the Clone, which under some circumstances will let them deal even more damage than the Black Dragons, while still immune the Blind/Slow spells and leaving the possibility to Resurrect them. Finally, they are 40% cheaper than the Black Dragons and are typically avaliable as early as on the second week of the game. Considering all the above mentioned, if you don't have the Armageddon spell, it might be a great idea to keep the Red Dragons unupgraded intentionally to prevent any losses and save them for the late game to upgrade them when the moment is right. And even in the very final stage of the game, one may prefer to "keep" most of the dragons "Red", upgrading only part of them to have the speed for the first turn.
The main tactic against Red and Black Dragons is to simply attack them with almost all you've got and overwhelm them, murdering other troops mostly by magic. Be careful with your troop placement, as to not let them strike two of your troops at the same time, and try to force them attack their own units (e.g. by attacking them with a small and weak stack, causing retaliation and huge damage on allies).
While not getting such an immense bonus from skills, like creatures as Titans do, there are still some good skills to take in consideration. Armorer is a very good to choice to keep the dragons' numbers up, while Tactics allows more friendly troops to assist the dragons easily, which can be a big advantage for a Dungeon army to deliver a first, strong strike. Offense is, as usual, a nice skill to have, especially with the dragons' Breath attack.