Combat

How does weapon damage work?
Weapon damage is not, as in most games, simply a random number between the two extremes. If you tap the attack button, you will do the minimum, and if you hold it down until the weapon is fully drawn back, you will to the maximum. This allows you to use light swings to train your skill up.

Why can't I hit anything?
To have a reasonable chance of success in battle, you must use a weapon you are skilled in. As you use the weapon more, your skill will increase and so will your chance to hit. Also, when fatigued, you have far less chance to hit, so always stand still or walk for a bit before a fight, so your fatigue can restore. Finally, low agility makes it much harder to hit targets.

How do I commit murder without receiving a bounty?
To kill without punishment, you must not strike the first blow. Either taunt or use frenzy
spells to make your enemies attack you first. If you do not have access to either of these methods, steal a cheap item from the NPC, or try to pickpocket them, and you will be attacked, letting you kill them for a much smaller bounty.

How does unarmed work?
In short: nobody knows. There is no way to find out exactly how much damage a blow from a fist, gauntlet or claw (Khajiit) does. What is certain is that hand-to-hand damages fatigue until fatigue reaches 0, whereupon the character will collapse and allow your fists to do health damage to them. Only really effective when combined with damage fatigue spells or items.

How do I heal in mid-combat?
Switching from weapon to spell leaves you very vulnerable to attacks, and makes it very hard to get back into the fight without taking more damage than you healed. Either run away and use a healing spell, or use potions. Potions can be set to a number key, so pressing the key will drink the potion instantly, or you can go to inventory and drink them, while the fight pauses.

How do knockdowns work?
If you do sufficient damage to a target, they will be knocked down for a few seconds, when they are more vulnerable to subsequent attacks. Pre patch 1.2, this time could be used to strip people of their possessions as well. Note that you can also be knocked down, often with fatal results at low levels.

Is there any point in not activating, 'always use best attack'?

Not really. Purposefully using weaker attacks can be used to train a weapon skill, but there is no advantage to be gained by turning this off. You may find that turning it off adds more fun to battles, so if you want, switch it off, but there is no benefit to it. 

Any good tactics I should use? OR Help! I keep getting killed by big monsters!
If you are using a hefty weapon and have good fatigue, try running away after each blow to give your next attack time to charge up to full damage. Also, if you have real difficulty, and have access to marksman, destruction, or damage scrolls, stand on a rock where your enemy cannot reach you and pelt them from a safe distance. Try using health potions to keep you alive. Also, remember to use all your defence or fortify spells before going into a tough battle. If you really can't win and are unwilling to try again at later levels, turn the difficulty down.

What difference is there between different arrow and bolt types?
Each kind of projectile has its own damage value, shown in the editor, but not in the game. Also, there are differences in flight path, for example, chitin arrows fly with less drop, but do less damage.

ARROWS DAMAGE
Bonemold Arrow 1 - 4
Chitin Arrow 1 - 2
Daedric Arrow 10 - 15
Ebony Arrow 5 - 10
Glass Arrow 1 - 6
Iron Arrow 1 - 3
Silver Arrow 1 - 3
Steel Arrow 1 - 4


BOLTS DAMAGE
Orcish Bolt 1 - 6
Bonemold Bolt 3 - 4
Silver Bolt 2 - 4
Steel Bolt 2 - 4
Iron Bolt 2 - 3