Undead Settlement - straight road from the great square Dark Souls III Guide
Last update: 11 May 2016
This chapter is about The Undead Settlement, located directly ahead a large square. On your way there, you will encounter many secret collectibles, a Cathedral Knight, and find a bonfire near the Dilapidated Bridge.
Beginning
Behind the square, there is a building that you can access from both sides. Enter it through the door on the left but first kill two opponents situated by the building and collect Titanite Shard. Inside, be careful when walking near corpses, as the nearby cage will come to life. There is Pine Oak Resin near the body. Another corpse that one should investigate hangs above the stairs - just hit it and it will fall down (Large Soul of a Deserted Corpse).
Locate a hole in the floor and jump down (you will lose some health). You can eat soup made from Estus and collect Warrior of Sunlight, a covenant sign. Exit through the door.
There are several enemies that you will come across in the corridor. Watch out for small but strong and quick opponents and jailed amalgams (you can lock on them to find out which of them are going to attack you). Don't come to them before you deal with other creatures. Two more cages will come to life right at the exit.
When you leave the building, head right and destroy the obstacle (see screenshot). This way you will unlock a passage to Soul of an Unknown Traveler. Return to the main road and continue the journey deeper into the village.
You will end up in a corridor. There is an Undead Matron at the end of it and she will shoot projectiles at you. Dodge her attacks by moving right and left. If you find it too difficult, try to run through the corridor as fast as possible. Should you still find it too challenging, ignore your enemies and run straight to the house in front of you. There is another bonfire right behind it.
Before you exit the corridor, turn left to a room. You shouldn't have a problem to locate it, as an enemy will run out of it. Inside you will find a Whip. Get to the end and turn right, right under the balcony where the Undead Matron is situated. At the end of the path, there is a Titanite Shard. Then deal with the creature with a hammer and the Undead Matron but watch out for other enemies. If the Matron did not jump down from the balcony, there is a ladder on the left side that you can use to get to her. Search for a Titanite Shard that is on the balcony, near a dead body.
To collect one more item, get to a small awning that is on the right. Use it to get to a platform on the other side and pick up a Rusted Coin that can be found next to the hanging corpse.
Remember: During your first visit in this location, look for a crystal lizard. If you are able to kill it before it runs away, you will receive a Sharp Gem.
Ember - fighting Holy Knight Holdrick
When you are near the bonfire (dilapidated bridge) you may use Ember. If you do, you will be attacked by Holy Knight Holdrick. He will be marked with violet color and you will receive a message about his attack. Prepare yourself and equip armor that provides defense against melee attacks.
The very fight should go according to two simple rules: use your shield and dodge blows. Although you can block most of his strikes, pay attention to your energy level. Holdrick specializes in rapid attacks combined with flips and dragging his sword which finishes with a powerful blow. Apart from that, he should not surprise you with anything else. Just keep in mind that Holdrick can heal himself.
Defeat him to receive Vertebre shackle. You may use it to increase your rank in Mound-Maker convent.
Continue your journey from dilapidated bridge.
When you get to the bonfire, investigate the bars on our right, behind the stone bridge - you will unlock this shortcut by opening the door in the sewers. Move forward and deal with a single enemy equipped with a saw. Outmaneuver him and strike him in his back.
Not far from here you will reach a glade where you will be under heavy fire. If you run fast enough, you might be able to avoid spears that will fly your way. Your prime objective is to get to a building on the other side. At the entrance, you will come across some opponents that may stand in your way. If they do, keep on moving to avoid incoming projectiles and wait for them to come out of the building.
Remember: There are many items in this area, such as Undead Bone Shard, or the entire Cleric set (before you get to the house, turn left and head up until you reach another small hut). There are also Mortician's Ashes. You can look for these items now, or after you deal with the creature that keeps throwing spears at you (the latter is easier and you will find the giant in a cathedral on the outskirts).
Watch out for more enemies in the building. Spears won't reach you here, so it would be wise to take care of all the other foes. If there are too many of them for you, try to get them stuck at the door or drag them outside and circle between trees (an accurate spear can kill them as well, so if you already talked with the giant, he will only aim at them). When using stairs, don't forget to look behind to jump to the balcony on the other side and collect Great Scythe. If all of that is just too much for you, you may as well run through the building till you reach another chamber filled with flowers.
From here, take the road on your left to get to the arena, or go right and go back to the square that you came from. This route will be displayed if you chose "right, through the bridge" at the crossroads.