The balance isn't great atm. If you're stuck because of the damage balance, the only things that you could do for now might just grind your level up from the previous bandit encounters, or if you're stuck because of the gauge keep getting high, you might need the meditation skills for that because the skill able to reduce said gauge.
Oh. Thanks for the information. Had to grind out levels like crazy so that I was nearly impossible to hit with elven grace. Side note I uh... can't escape the bandit camp. The second the bossfight is over I can just... go back into the room to fight her again? I have the key but the door won't open. The lever is flipped so I don't know what is going on.