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Personally, I prefer to build a capitol and then recruit an army; otherwise, you won't have an army even if you have money.
...This is a noob strategy. It's the standard strategy for all beginners. With this strategy, you will always lose if you play against experienced players.
Real players don't start a war without placing a Grail.
Chingis
Many players have learned to capture level 7 monster nests with their starting army in the first week. But capturing a Hydra nest raises questions.
Once, I broke through the guards, but I didn't even enter the Hydra nest. If you surround the Hydras (because you can't defeat them otherwise), they will wipe out your entire army in one turn with their attacks in all directions. What can you do in this situation?
Usually, players try to lure the Hydras out with flies and shoot them down from a distance with lizards. In SoD, this is more difficult due to morale, but there's nothing you can do about it: capturing an angel or horse nest in SoD for a castle is a lottery without any tactics.