Jesus was living in Capernum on the north shore of the Sea of Galilee. It was an ideal place as His "headquarters" because of the access to a main highway and also the water for travel by boat.
One of His disciples, Peter, had a house there that he shared with his family and mother-in-law.
Jesus was making His way to a house of one of the leaders of the local synagogue. There was a large crowd of people surrounding him.
At that very same moment Jesus felt power go out from Him - He looks around - He asks who touched Him. Peter reminds Him that there are throngs of people around - it could have been any one of them. But . . . that's not what Jesus meant. He looks around at the people near to Him.
The woman is terrified. She has broken the ritual purity laws - any person she has touched is now declared "ritually unclean" requiring each of them to go through an extensive ritual cleansing.
Can you even begin to imagine just how scared she was . . . as she came forth and told Jesus it was her. Anything could happen to her now that she has admitted her guilt.
Jesus was gentle with her. He called her "daughter". He told her that it was her faith that cured her. In 1st century Palestine, many people believed in magic. Jesus wanted to make it very clear that there was no "magic" in His shawl, but that the faith of this woman is what has made her whole.