Tips for Each Side:

England:

Seek alliance with Hapsburgs to conquer France.

France:

Offer to stay neutral vs. Hapsburgs in return for fighting England plus Italian concessions.

Ottoman Empire:

Seek alliance with France to conquer Hapsburgs, probably Lutherans should join alliance as well.

Papal States:

Seek strong alliance with Hapsburgs; try to balance off France and Hapsburgs in Italy.

Lutherans:

Seek alliance of Turks and probably France, but England if necessary, in fighting the Hapsburgs.

Hapsburg Empire:

Try to avoid fighting too many wars at once. Treat with the Papal States and come to a fair agreement about Italy. Try to have France and England fight one another and stay out of it yourself. This should give you and the Papal States sufficient resources to take on the Turks and Lutherans. Alternatively, A very different, but historically-accurate possibility is to convert to Lutheranism, which may, however, unbalance the game in ways that the rules failed to consider.