*sees Azula's name*
Well, Azula realized what a nuisance air is, so she just said "Screw air!" and somehow lost her lungs, and has no need to breathe. With air becoming non-necessity for her, she could defeat air anyway she felt like. That is why she can fly. Gravity is also a nuisance to her. Trufax.
What I'm trying to say is that anytime Azula is annoyed by something, that obstacle better damn well get out of her way.
..What am I talking about? Sorry.. I've missed the intarwebz.. :C