Straight off, people saying Phoebe was acting bad or was really obviously disdainful towards Prue are full of it. I thought she acted quite for someone who was supposed to practically 'worship' her older sister (because Prue is god right). I honestly thought Shannen acted quite badly, she was giving quite snarky looks at Alyssa the entire episode.
I thought it was a nice episode, Piper was reacting quite rationally to her new power and Phoebe I thought was acting quite normally. She's young, heart broken and still new to magic I reckon, so writing about Cole in the book while not being the smartest idea is not THAT dumb either. If he comes back in 100 years to go after their family line again, they can see the book and see a picture of him, and if he's changed his looks, they can know what he's like too. The demon is a part of him, so the whole him should be identified I reckon.
I liked the Banshee, thought the costume and make up were well done, and Phoebe made a good one.
I have to agree with Piper though, people saying "just relax" pisses me off to no end, and the way they were saying it to her as well! I would've tried to blow them up after a while.