I am a bit confused on nginx, can it also act as a proxy like haproxy?

i.e. Someone connects to my domain, where haproxy sits, then it routes the traffic from port 80 to web servers running on a different port, in a round robbin fashion.

Can nginx perform this same functionality?

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HAproxy is a better proxy / load balancer with focus on high-availability.

nginx supports things like rewriting and SSL however (as of my last use) doesn't detect a "down" server very well.

Nginx CAN perform the same functionality as you said. Reverse proxy load balancing on round robin is pretty simple to setup, and is pretty well documented around google.

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