I believe pressing two arrows simultaneously makes you move diagonally. Might be wrong though

Don't you suffer the same fate on the screenshot though?

For general advice, you should explore everything, save your upgrade scrolls for better items (while not being too stingy, e.g. investing in some early armor at the start of chapter 2), use consumables (seriously, you can cheese almost all bosses with alchemy, e.g. using a potion of shrouding fog in the first phase of the tengu boss, bee pots in the second, using haste when dm-300 supercharges, invisibility and AoE potions on the last dworf king phase, paralysis and AoE pots on Yogg's fists), try to fight monsters one by one, identify scrolls by turning them into stones, use deduction to identify potions (there are exactly 2 strength potions every chapter, on different floors; potions of healing are by far the most common and drop from flies; every floor with a puzzle has a solution in it), make aqua potions - they solve twice the puzzles with half the effort, use surprise attacks, exploit monster ai which follows exactly in your steps, use runestones or seeds when in an unfavorable situation, use that examine thing on everything you don't exactly recognize, read the wiki. That's about everything I came up with off the top of my head.

Now, about the evasion ring.

On the wiki you can find out how evasion works: you have base evasion equal to 5 + level, each upgrade to the ring of evasion multiplies that by 1.125, and the chance of an attack hitting you is acc / (2 * eva) if the attacker's accuracy is lower than your evasion, and 1 - eva / (2 * acc) otherwise. Here we find that dworf monk's accuracy is 30.

Your evasion would be (21 + 5) * 1.125^8 = 26 * ~2.6 = 67.6. Applying the formula we get 30 / (2 * 67.6) = ~0.22. Without the ring you would get 1 - 26 / (2 * 30) = ~0.57. Which means with the ring you would evade about 4 in 5 attacks, and without it you would evade about 2 in 5 attacks against a dworf monk at your current level. The ring will reduce your average damage taken per round just about 3 times, which is great, but you have less scrolls to invest in weapons or armor (which can nullify most of the damage completely).