For those new to Daggerfall, there's a built-in easy mode that the game doesn't tell you about. If you're struggling to kill stuff and don't care about roleplaying, give it a whirl.

Here's what you're gonna do:

• Make a new character. Fleshy, furry or scaly — whichever flavor you prefer.
  
• Create a custom class with Destruction as one of your main skills. The rest can be whatever you want, but have at least one other magic skill in there somewhere to allow yourself fast entry to the mage's guild. I recommend Mysticism, because the Recall spell is the single best utility in the game.
  
• This step is the most important: give your character the special trait "Magic Absorption General." and "Increased Magery: 3x INT in spell points." Yep, it's wizard time. Kick a few extra points into your intelligence stat while you're at it.

Finish creating your character in whatever style you want. Now you're ready to begin. Scuffle your way out of the first dungeon and beeline for the nearest mage's guild. Join up with the Wizard 101 for access to the spell maker and spell merchant.

• Buy a damaging spell with AoE, such as fireball, or preferably make one of your own. The element doesn't matter, only that it has "Area at range" as the casting type. You can make it as strong or as weak as you like with spell creation, just don't make it too costly for your mana pool. Or wallet.
  
• Head on over to a monster-filled dungeon (or a crowd of innocent commoners if that's how you roll) and ready that fancy new spell of yours. Get within handshake distance of your victim/s and let that baby rip.
  
• Instantly re-absorb all of the magic points you just spent casting the spell.
  
• Realize you will never run out of MP if you shoot things at close proximity.

The splash damage on these is rather huge, so you can aim for the ground or a nearby wall as well. Though it's hard to miss, have a melee weapon on hand to fall back on, just in case.

Congratulations, you have discovered the power to make every enemy in this game your ♥♥♥♥♥. Endlessly spam the strongest blast spells your magic pool can afford and never bother with normal weapons ever again. Hope your sword arm doesn't get jealous.

TLDR for Knuckleheads:
Create a custom class with the "Magic absorption general" advantage and abuse an exploit that allows you to cast AoE spells for free if they hit something close to you.

Enjoy!