There are traps in Lair of the Wolf, which spawn a pack of werewolves in predefined location. One of traps spawns them in small room and closes doors. So I danced on this trap for a couple of in-game hours and then started using Ring of Fire through the walls of enclosed room, burning hundreds of werewolves at once (at first I tried opening doors, but it was instant death).

Looting took quite a time, and I gained only around 40,000 Exp and 20,000 Gold. However, further dancing on any trap in the dungeon produced no werewolves despite the howl (sound of triggered trap), which might be useful for those who want some bonus EXP and who hates when monsters spawn in the back.

I still have that howl in my ears >.<