Combine with "Emergency Provisions" during the opponent's turn to gain 1000 Life Points as well as avoid this card's drawback, essentially gaining free cards. "Double Cyclone" is another option, to destroy an opponent's Spell/Trap Card in lieu of gaining Life Points. Even "Mystical Space Typhoon" works, as either way you get free cards.
Another interesting combo if "Emergency Provisions" or "Mystical Space Typhoon"/"Double Cyclone" are not available at the time is to use "Gravelstorm" to return "Mirage of Nightmare" to your hand after you draw your cards. That way you can reuse it later when needed and when you have the aforementioned cards in your hand for the above combos, as well as return a Spell/Trap to your opponent's hand in the process.
This card can do well in a "Buster Blader" Deck, since the Spells/Traps can activate their effects in the Graveyard, and "Buster Dragon" can equip your "Buster Blader" monsters with a "Destruction Sword" monster from your Graveyard during your opponent's turn.
Along with "Graceful Charity", this can be used to 'dump' monsters into the Graveyard to benefit from the numerous monster effects that involve cards in the Graveyard.
Use "Solomon's Lawbook" to skip your next Standby Phase after activating this card, allowing you to bypass the drawback and essentially gain another chance to draw more cards. After you do, then you can remove it with "Emergency Provisions" and such.
It may be good to combine this card with "Imperial Order", in which case you may use the effects of "Mirage of Nightmare" more than once. For one turn, after drawing with "Mirage of Nightmare", activate "Imperial Order". Now you may choose not to pay the cost and destroy it, allowing for another extra draw with "Mirage of Nightmare". After that, you may finally remove it from the field with "Emergency Provisions", etc.