SegaXtreme

OK I am stuck in Lunar 1.

Here's the situation: I'm in the sewers of Merbia chasing the crook that stole the dragon diamond.

Problem is I just ran across The water dragon and I keep getting killed, and the flame spell doesn't help.

How do I get past him? Been trying for a week.

I really don't want to use a walkthrough because it would give too much of the game away.
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