Off-screen projectiles in NG2 are a non-issue, aside from the Chapter 11 Rasetsu fight on Master Ninja. In regards to difficulty, NG2 is by far the hardest (on Master Ninja; assuming you do every fight, so 4300~ kills by the end), especially when you consider the Mission Mode DLC on Master Ninja is a lot harder than the story. So far I'd say Bayonetta and DMC4 are pretty equal in difficulty, but I haven't played the secret boss and survival mission in Bayonetta yet. And Nero is indeed awesome, although he is a little limited in the long run. Can't wait to see how Capcom expands on him in DMC5.
As for what I've been playing, I started up Sin and Punishment 2 yesterday. Haven't even fully played through it yet, but I can already tell it's one of the best games on the Wii. Still gotta get back to Dragon Age and continue working on 1CC'ing 1.5 Original in Mushihime Futari, but Bayonetta has been sucking up all my time since I got it.