In the precincts of the forest where Angelica takes refuge are two magic fountains, one whose waters instantly transform love into hate, while the other induces any partaker to love the next person seen.
Prowling around this forest, Rinaldo unsuspectingly quaffs the water which turns love to hate, so he immediately ceases his quest and falls asleep.

Meantime Angelica, drinking from the other fountain and coming upon the sleeper, falls madly in love with him and watches for his awakening.

But, still under the influence of the magic waters he has imbibed, Rinaldo rides away without heeding her timid wooing, and leaves her to mourn until she too falls asleep.
Orlando, coming up by chance, is gazing in admiration upon this sleeping princess, when Ferrau rides up to claim her as his prize.
These knights are fighting for her possession when the clash of their weapons awakens Angelica.

Terrified she retreats into the thicket, and, thrusting her ring into her mouth, becomes invisible! Meantime the knights continue their duel until a messenger summons Ferrau to hasten to Spain, where war has broken out.
Angelica, unable to forget Rinaldo since she has partaken of the waters of love, now induces the magician Malgigi to entice her beloved to an island over which she reigns, where she vainly tries to win his affections and to detain him by her side.

Still under the influence of the waters of hate, Rinaldo escapes, only to land in a gloomy country, where he is plunged into a loathsome den.