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From what I've gathered they "balance" teams by adding the levels together. For example; yesterday I had a match of me + 24 (64) vs 19/22/25 (66). Now the formula they use tells the game this is balanced but what they don't take into account is that those poor gray fellows couldn't kill me through the duration of the pvp fight if I let them. The damage reduction from pvp is massive as it is, but you throw the damage reduction from level difference on top of that and it makes me virtually invincible.
While games this unbalanced are very uncommon there are still major balance issues that are common and exist like me being constantly paired with someone whom is 8+ levels lower than anyone on the opposing team, strictly because I'm 40. The other team ends up chasing around the lowbie for easy kills putting excessive pressure on me to carry our team to a win solo just because I might be 1-3 levels higher than our opponents.
You bring up a very good point about queue times as well. I generally wait in queue for 30 minutes to be placed in one of the aforementioned scenarios, sometimes longer. I generally log off wondering why I even bother and shortly after coming to the forums for "a break" I end up back in game waiting through the drudgery.
Shifty~
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