If you want to put her hair in a top knot, I wouldn't cut the hair around her eyes. Though I have seen a few pups who look cute with the little "bangs" as well as having at top knot.
Have you thought about trying the waterless wipes for her beard rather than a 2nd bath?
The itchy skin could be too much bathing, a shampoo that just doesn't agree with her, her food, or other allergies. It is hard to tell. I would start with trying the wipes rather than the 2nd bath first and see if that helps. As far as switching foods goes, Natural Balance is consistently one of the highest rated foods out there. Are you afraid she isn't eating enough of it? I know that a small Yorkie eating this food is fine if they are eating 1/2 to 3/4 cup a day total.
Hope this helps...
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