Yes of course. Allah, The Glorious, says in Qur'an (Surely, only by remembering Allah, hearts gain peace and tranquility) (Sura 23, Verse 28).
Remembering Allah and taking His names and repeating it is very useful in treating psychosis and any depression or anxiety or psychological problem. Remembering Allah keeps the heart peaceful and prevents the causes of psychosis.
More remembering Allah (SWT) brings more peace and comfort in the heart and mind.