The balance comes from the travel time of the rocket. With the machine gun you dont need to lead your target and also stand a chance killing someone a lil ways away who knows your there cause if they see the rocket coming all the have to do is jump outta the way and kill you while you reload
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I think that's implied. The machine gun should tear an enemies ass out. It just doesn't feel that way. I need to have a fellow clanmate qsync to the opposing team somehow to more accurately test damage and it's falloff.