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Raises the power of Palkia's Dragon and Water moves 20%.
The Lustrous Orb provides Palkia an attack boost for its Dragon and Water attacks. With Palkia being such a feared special attacker in the Uber metagame, the Lustrous Orb is often used on mixed attacking sets. It allows Palkia to hit hard with Dragon attacks on the special side and Aqua Tail on the physical side. The mixed Palkia set is often used in conjunction with rain support to hit as hard as possible. In this manner, the Lustrous Orb is superior to a Life Orb because of the attack boost without recoil damage.
Of course, if running a purely special Palkia, Life Orb might be the better option to boost all attacks as opposed to only Water and Dragon ones. With Palkia's success as a revenge killer in the Uber metagame, many players equip it with a Choice Scarf, favoring speed to an attack increase. Since Palkia is so versatile, it should be equipped with an item that best supports the team.