The journey to the House of Gales begins here. Wherever you are, warp to the Witch’s Hut (if you haven’t been, the instructions are in the previous chapter). Head right and you’ll meet a Zora Underling who claims you can only reach Zora’s Domain (or next destination) by swimming. However, the Zora isn’t aware of Link’s special ability; merge to the wall on the right, then walk left across the gap and emerge. Go right to reach the next screen.
You’ll be in area sandwiched by hills, with a small pit down south. To begin with, head for the pit, but don’t drop down. Go around the sides and you should spot Maimai #34 stuck on the wall below; merge into the wall above the pit and walk in the direction of the Maimai, then emerge while behind it. Doing this will cause Link to drop into the pit, where a bunch of Blobs and a Buzz Blob will ambush him–stick an arrow in the Buzz Blob.
Next, make your way up the hill on the right side. At the top of the hill, merge into the right-hand wall and walk all the way right to the top of the left hill, where there’s a chest containing 20 rupees. Back atop the hill on the right, go up one screen. Watch out for the fast-moving Sand Crabs along the way. The hill will continue ahead; to the left is a body of water and in the top-left corner there’s a grand waterfall. Descend the stairs to lower ground or drop off from the cliff (if it’s safe) and head left.
Finally, follow the shallow water up and you’ll see Shady Guy come from the waterfall ahead. Go inside the cave behind the waterfall to enter Zora’s Domain, where the Zoras are in a panic. Step forward and you’ll learn that the queen’s smooth gem has been stolen. Obviously Shady Guy took the smooth gem, but where could he have gone? The Zoras give you a little hint: the smooth gem is worth a fat sum. Head back outside and warp to Kakariko Village.
From the weather vane, head up and then right; Link will bump into Shady Guy who does a runner. Exit the village north, where Shady Guy probably escaped to. Then re-enter the village. Slowly walk down and you’ll see Shady Guy waiting where he was before; don’t approach him directly or he’ll run off like before. Instead, merge into the wall to the left and walk left until you’re behind Shady Guy, then emerge. Link will surprise Shady Guy and confront him about the smooth gem.
Unfortunately, Shady Guy already sold the smooth gem to the Street Merchant. However, to make things right, he gives Link his Pegasus Boots . With this nifty piece of footwear, you can hold the L button to dash in a straight line. Dashing can damage enemies, as well as knock things off trees and other objects. In any case, your priority is to regain the smooth gem, so head for the Street Merchant to the left. Press A in front of the Smooth Gem and you can buy it for 200 rupees; at this stage, that’s probably pocket change.