Blocking is an integral action to keep yourself alive. Knowing how to use which block in which situation will improve your game immeasurably. Not only will you be able to defend better and survive longer, but in some cases you will be able to resume your offense faster.
Basic ground blocking is the most common defensive option. To guard against high attacks, simply hold . To guard against mid attacks, hold or . To guard against low attacks, hold . If you guard incorrectly, a "Guard Break!" message appears on the side of the screen.
After blocking S Normal attacks, you can immediately cancel into Homing Dash and Z Reflect.
Remember, you cannot block Dragon Rushes and throws!
Basic air blocking is even easier; simply hold any backwards direction while airborne. Air blocking does not have high/low blocking, but instead come with the restriction that you suffer more blockstun than ground blocking, which will likely force you to the ground while giving the opponent even more frame advantage.
Also remember that after you air block (any kind), your jump options are restored! This means that you can do something like double jump to block an aerial projectile, then double jump again, or airdash afterwards, if you're not too close to ground.
As with ground blocking, you also can't air block against air Dragon Rush and air throws.
Z Reflect is a defensive tool that puts the character in a defensive stance that will block both highs and lows, and lose to Dragon Rush and throws. On a successful reflect, you will recovery sooner than normal. If you reflect a physical strike, then you will stay in place while pushing the opponent away. Reflecting a projectile will keep you in place.
Breaking Dragon Rush
When the opponent catches you with a Dragon Rush, press L/M/H between 4 frames before the hit until 4 frames after the hit to break the rush (total 9F: 4F before + the frame it hits + 4F after).
Also if two Dragon Rushes meet each other, it is automatically broken.
On Dragon Rush break,
Hold A1/A2 or press +A1/A2 to swap out your point character with another on your team. After using a Z Change, you cannot use your teammates for anything else for a short time. Following that, there's a cooldown on using the character that was called back for a Z Assist or another Z Change. Cooldown will not commence while the opponent is in stun, but will continue if it has already commenced.
Guard Cancel Change / Guard Cancel
When blocking, press +A1/A2 to swap out your point character with another on your team at the cost of 1 Ki Gauge. On hit, the opponent is knocked away. On block, you cannot act and are fully punishable. As with a Z Change, you are locked out of using the character you tagged out for a short period of time. If you are down to one character, you will cancel into an attack that teleports behind the opponent instead, similar to a Vanish, only much slower and with some forward movement after the teleport. This version cannot be canceled into a Vanish, unlike off a Change.