Chasing Josie... techniques for defeating Josephine
If you drink a shadow potion and use your spin attack near (but not directly on) a creature, you will hit it without turning visible.
Have you learned Stun? Josephine starts by summoning a death knight when the conversation ends, casting a spell on it, then attacks with Blind and Hell Spikes. If you interrupt her summoning (Flash Attack could help with that), she will keep trying to summon, and not attack.