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There are various stances available in Age of Conan, depending on your class will vary the stances available.
Soldier Stances Edit
You take less damage from all attacks, have a greater chance of avoiding attacks, but lower your damage. Being in Defensive Stance does not drain your stamina, however Actively Blocking / Avoiding Does.
This greatly increases your damage, but you take significantly more damage when attacked.
Assassin Stances Edit
Assassin stances were removed. Both of the stances are now passive feats in the Lotus and Corruption feat trees.