On the levelling part, you're better off fighting road bandits and such. I don't think (emphasis on think) that practicing with Bernard using dummy weapons increases the level much.
Train with Bernard to learn moves and get better at it, as well as junlocking the more advanced moves. For levelling, simply go around and live Henry's life.Practice on those bandits that attack youy on the road, as usually it's just one or two.
I tried that and usually the guy I chose to farm my defensive skillz turned tail the moment I slew his collegue.