Well, then I got confused and embarrassed (2,3,4)
I believe the answer is:
in the pink
'well' is the definition.
(meaning healthy)
'then i got confused and embarrassed' is the wordplay.
'got confused' is an anagram indicator (I've seen 'get confused' mean this (I've seen this in other clues)).
'and' is a charade indicator (letters next to each other).
'embarrassed' becomes 'pink' (I can't justify this - if you can you should give a lot more credence to this answer).
'then'+'i'='theni'
'theni' with letters rearranged gives 'inthe'.
'inthe'+'pink'='IN THE PINK'
Can you help me to learn more?
(Other definitions for in the pink that I've seen before include "Enjoying perfect health" , "Fit as a fiddle" , "suited for hunting?" , "How Britain's colonies appeared on maps" , "Perfectly healthy" .)