When you leave the castle, follow the path upwards until you come to one square of forest. Walk over it and you'll be transported to a screen where you'll find a point bag. Slash the point bag and level up your health. Now follow the path downwards until you come to a town. In the town, talk to people until one lets you into their house. Once inside, go into the basement where an old man will give you your first spell. Now leave and go back to the forest to the right, where you'll find a cave. Go through the cave, watching out for an enemy on the ground near the end. Once you exit, go as far right as possible, then go down. Cross the screen that you show up in and you'll eventually get to a screen with a heart container. Get it and go all the way back up. Keep on going up until you find the first palace. You know, this site also has a walkthrough.