When you say you a re peeling around the nose are you saying right up in the corner? Or did you protect it Vaseline or something like that as per the instructions?
It is quite normal to only peel around the chin on your first peel attempt as this is the easiest place to get to peel. Other areas like the forehead and cheeks need to be worked a little harder (see below tips for next time)
As per the instructions, you need to keep to post peel area dry and untouched for the 5 day period as the drying out is what helps it to crack and peel. This may be different in your case if you did not protect the areas of the skin (side of nose and mouth) outlined in the instructions and are now irritated - please let me know.