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Okay, here's my opinion on the strongest faction when playing a map where you can only research magic up to the 4th level:
1. Chaos
2. Life
3. Order
4. Nature
5. Death
6. Barbarian
Chaos is first because combat magic is strong at this stage, as there are few troops, and the damage from lightning is devastating.
Life is second because it has Wards that protect against everything except Chaos magic.
Order is third because Chaos magic can quickly disable the hero, and a mage hero in Order is invaluable, and it's difficult to fight against Life's Wards. Even if there's a general dispel, Life's troops, especially angels, will tear through Order's troops (2 angels can easily defeat two titans).
Death is fifth because its main magic is at level 5, and it's vulnerable to Chaos. Life will deal with it using Wards (you need to do THIS: have the Death hero move first, then the Life hero). This often happens when the Life hero moves first, waits, and then the Death mage has to do something. And you need to engage in combat with the Ward!
Barbarian is last because the Barbarian hero is weak, and Cyclops can be neutralized.
Now, my opinion on the strongest faction when playing a map where you can level up sufficiently:
1. Chaos
2. Nature
3. Order
4. Life
5. Death
6. Barbarian
Chaos is first because its mega-upgrades increase the damage from spells. And there's no escape from "Disintegrate":)
Nature is second because it can't withstand the power of Chaos, but with extra Phoenixes on the battlefield, it will be comfortable.
Order is third because it will be difficult to withstand Chaos and Nature.
Life is fourth because it has Wards that will mitigate damage, but this will only help against Death.
Death is fifth because it can't withstand Wards, damage, or summons. Only Barbarians will be punished:)
Barbarians are last because they're useless without magic. Raw strength isn't enough.
P.S.: All of the above is based on using ONLY your own faction's units. During the game, there may be changes that could make another faction the strongest.