Your goal in Rebirth's combat is to push your enemy ever further toward a Staggered state, thereby rendering them helpless to your attacks while you deal increased damage, leading to their defeat. You're also moving your characters toward better and better attacks.
Rebirth's combat is about building momentum, making your enemies weaker by Staggering them while making your party members stronger by way of more powerful attacks. It can be a little bewildering and confusing at first, and will demand your full attention, but it's a rewarding system to gain mastery over.
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