How do I defeat the noonwraith in the Devil by the Well?
After some more researching, I found an interesting post on GameFAQs, namely:
I spent a while on this. I searched everything and even fought it once. I had to reread my bestiary to trigger the body burning interaction.
And sure enough, after reading the bestiary entry for the Devil by the Well (again), a cutscene was triggered and now I can burn the skeleton instead of just examining it.
TL;DR
Read the bestiary after reading the diary, finding the bracelet, and pulling out the skeleton.
I too got bugged up on this quest as I stumbled on the village just exploring. I looted all the buildings and without much thought tried to jump in the well and subsequently found the bracelet. Then spent hours running around in circles trying to find evidence of the wraith after I went and talk to the guy.
Turns out I needed to go back and encounter the wraith at Noon for our first confrontation. which I did.
Then the entries showed up in my bestiary and I could read them and everything worked from there as advertised.
Thanks for the lead!