Actual gameplay is shown in the new trailer:
http://www.youtube.com/watch?v=WfvHF...eature=related
From what I understand of the battle system, you'll see the enemies on the screen at all time, but then when you touch them it's a seamless transition to battle. The battle system is the classic Final Fantasy active time battle, but you can have multiple actions per turn. Again, thats just my understanding of it, though, I could be wrong.