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Thematically I'm fine with it (though I wish there were less Fairy types that are just Fairy cause "pink and cute" (Slurpuff, Wigglytuff, etc) and more that had interesting folklore origins (like Mawile and Whimsicott), but balance wise it's fucking awful. Dragon and Fighting definitely needed the nerf but Fairy has become just as oppressive.
Their matchup chart should look something more like this.
>Strong against: Dark, Dragon, Fighting
>Resisted by: Steel, Poison, Grass, Psychic
>Resists: Dark, Fighting
>Weak to: Steel, Poison, Psychic
>Immune to: Dragon
While Steel does need a nerf I didn't change Fairy's interaction with them because I think it makes good sense thematically. Just nerf Steel in some other way, maybe add a Poison version of Freeze Dry that hits Steel super effectively, something like "Corrosive Mist".