That's one of those fights where you have to think "hmmm...genies equal magical abilities...let me quaff those potions/read those scrolls etc.". It is a tough one, but not really any tougher than beholder battles (non-cheese methods, of course). Tough, but doable.
I agree with Dundee about going to Umar Hills first for that certain sword. Mirror Image works wonders in many tough fights, as does getting the sword that allows you to cast silence.
In fact, Mirror Image would work wonders against the genie. However, a simpler way to avoid this is to work for the genies. You miss out on the bottle, but considering that I usually get fireballed every time I summon an efreeti, I don't consider it a huge loss.
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[img]\"ubb/noncgi/smiles/new/ghoul.gif\" alt=\" - \" /><br /><br />\"The middle class pays all of the taxes, does all of the work.<br />The lower class exists just to scare the middle class.\"<br />-George Carlin
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