Wizards can cast spells while they are fighting in hand to hand combat without any restrictions. Some spells like the Amethyst Magic spell Purple Scythe, the Bright Magic Spell Scarlet Scimitar and the Dark Magic spell Hand of Dust can only be cast against opponents in hand to hand combat with the wizard. Even though these spells are used while in hand to hand combat, they are still worked out in the magic phase: any wounds they cause do not count towards combat resolution in subsequent combat phases, nor is combat resolution calculated during the magic phase. It is possible that casualties inflicted by a wizard casting a spell in hand to hand combat may cause a unit to take a panic test for suffering 25% casualties from magic.