Re: Decent Character or Too Much Cheese?
I don't think it would have to be a damage shield. A damage shield is something that would work anytime you would be touched, regardless of the attack. If you are touched by someone else, or attacked HtH, or grabbed, they would be affected by the damage shield.
If you set it up as an attack that you control, then you could make the mental illusions with No Range. That would require a touch. You couldn't use it with your HtH attack, but you could define the sfx of the attack as a punch/kick etc. You would just decide when you use this attack. That seems reasonable to me.
I suppose you could link the MI to something as well.