When Alyssa's panic meter starts to rise, you've got to keep a good tab on it depending on what kind of situation you're in.

If your panic meter starts getting into the danger zone and you've got a bad guy hot on your tail, use a Lavender Water to calm her down a bit. However, if you're running low on Lavender Water and want to save it, or you're not sure you'll be able to get to an evasion item in time, sacrifice an invisibility band to befuddle the enemy while you gain some ground to think.

Sacred Water is good used in conjunction with hiding spots. For example, if a subordinate is right on your heels and you're headed towards the tailor shop in chapter one to hide behind the curtain; Pause just outside the tailor door, splash Hammerman in the face with the Sacred Water to blind him and also give you just enough time to hide inside the building so that he doesn't actually see where you went.

If Alyssa reaches full panic mode, it's a really good idea to use Lavender Water no matter what, because she will alternately run around flailing and then stop dead in her tracks, making it easy for a bad guy to get another hit on her. If she does stop like that, you can keep pressing X rapidly to bring her out of it quicker. Note that Alyssa will also NOT enter any hiding spots if she is in a dangerous panic mode.