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These categories are for convenience only, and are not rigid. Once you've created a few basic simulations and have become more familiar with Phoenix, you will have a better grasp of how the tools work, and when creating an effect that is not strictly fire or liquid you'll know how to represent it most efficiently. For example, sparks embers or thin smoke might seem to fall into the "fire" category, but in practice these effects might be better served by particles and thus could use some of the tools designed for liquids.
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