Baiting the Trap

Overview
Faction: Shivering Isles Main Quest Prerequisites: A Better Mousetrap Quest Giver: Sheogorath Reward: Dawnfang/Duskfang, leveled loot, begin quest Understanding Madness

Background
Sheogorath sent you to Xedilian to attune the Resonator of Judgement in A Better Mousetrap. Once you complete that task, your current quest ends and this quest begins.

Walkthrough
You begin on the bottom floor of Xedilian in front of the Resonator. Go up the stairs to your north and activate the teleportation pad. You will be greeted by Kiliban Nyrandil, a smiling, hooded Dunmer. He explains that you are trapped here until you proceed through the chambers.

Nyrandil says that you will have three encounters with a group of adventurers. At each encounter you will have a choice to make: either choose a physically harmful fate, more in the spirit of Dementia; or choose a mental assault, closer to the spirit of Mania.

The first chamber is known as the Chamber of the Gnarl. You can cause either a large group of small gnarls to attack or you can make a single gnarl appear to grow in size suddenly. Nyrandil says that this effect will be magnified by hallucinogenic spores released into the air.

Move into the west room. You will be on a balcony overlooking a large, empty room. In a moment, three adventures - an Orc warrior, an Bosmer archer/thief, and a Dunmer mage will enter the room. The switch to the right, the orange smiley face, will activate the Dementia choice, the left will chose Dementia. Either choice will lead to the incapacitation of the archer.

Move onto the nearby teleportation pad. Inside the next room a great treasure waits inside a locked cage. Choosing Dementia will activate a fireball that kills the mage. Choosing Mania will cause a great number of keys to cascade to the floor, and the mage will go mad as he tries to find the correct key.

Move onto the third teleportation pad. The final room is blood-spattered and decorated with hanging corpses. The sole remaining adventurer - the Orc warrior - enters. You can either choose murder-by-zombie or drive him mad by making him think he has died without a fight.

After you are finished, speak to Nyrandil again. He will congratulate you on your success and give you the sword Dawnfang/Duskfang. Go up the stairs to the Recovery Chest and find leveled loot and the Talisman of Abetment.

Immediately after this, groups of the distinctive silvery crystals suddenly grow without warning, and a trio of Knights of Order appear. Kill the Knights (don't forget to check for Hearts of Order) and speak to Nyrandil again.

He will explain that Knights were attracted to the Resonator and orders you back to Sheograth to notify him of this new and ominous development.

This will complete your current quest and begin your next quest: Understanding Madness.