Morlocks are very tough right now and give Avengers a good game but if Avengers hit their curve I haven't found it to be that lopsided. I've beaten some good players and their Morlock decks with Even initiative. One of the keys is stunning their characters back on their initiative so they have as few as possible to recover each turn. Also, System Failure is huge against Morlocks. How many 20+ attacks have you seen come from Marrow and Callisto?

the only way i see u system failuring a morlock deck is if u throw like 2 flying kicks on their guy