The thing about chilli powder is once you've tried it you know exactly how spicy it is - the same can't be said for fresh chilli, even two from the same pack can be different. So if you're a bit scared of chilli, just using powder is fine, it's consistent and controllable.
Vicky Bhogal taught me how to make curry and it's really easy to knock something up.
My basic curry paste goes like this (I do it all by eye though which may not be helpful, sorry).
Dry frying pan, medium heat.
Add cumin and coriander seeds (say a tablespoon).
Fenugreek seeds (less, say a teaspoon)
Mustard seeds and/or fennel seeds if you have them, non-essential (again, say a teaspoon)
Toast the seeds till you start to smell them, then take them off the heat and tip into a processor or mini-chopper.
Add chilli to taste (so you can add powder or fresh). Lemon juice, salt (curries really need salt!), the stalks of a bunch of coriander and a roughly chopped onion, then blitz till you get a smooth-ish paste. You may need to add a splash of water.
I make this in large quantities, freeze in portions then use when I want.
To make a curry, add a little oil to your pan, fry the paste, add meat/fish/veg whatever. To make it saucy, add water, stock, coconut milk or tinned toms. Cook.
Easy x