So far I've found the biggest problem with the Saxons to be the lack of funds. My game has become one of money management rather than anything else. It reminds me very much of my Brit campaign in RTW i.e. not very much fun.

Strategically, I've had to expand southward against the Franks, Vandals, and WRE (since they attacked me and I limit myself to only attacking when attacked first) rather than the more economically viable move across the coast and Britain (that have ports). I've been in a constant war with the Goths and WRE despite obliterating their invading forces time and time again but because of the limitations of funds I cant build enough forces to protect my lands from the west and advance against two large empires in the south and east. As with the Brits I expect that the balance will eventually tip and from there it will be all easy-going afterwards.

Tactically, I tend to build elite units rather than peasants with sticks and have slaughtered every army (Romans, Goths, Vandals, Franks) I've fought using upgraded hunters (archers) and cavalry (with a few inf units).

Standing enemy with shields are well protected from arrows but not moving ones. Threaten their flanks with cav to make em re-position then pepper-em with arrows. Alternatively, sting em with arrows then skirmish backwards if they chase then hit em from the flanks with cav. Dont send cav into Gothic spears unless they are disorganized (they seem to form a schiltron-type hedgehog defense if given time) and/or flanked.