Hey Dalyn-sounds like your off to a good start. You want to cut the curd both horizontally and vertically so you end up with a curd size that is used in that particular cheese type. However you accomplish this is acceptable whether you use a curd cutter , curd knife, spoon. You should strive for a consistant size throughout the curd mass. As for the resting or "healing" phase, yes you should usually add this to the process to allow the curds to firm up a little bit before you start the next phase, the scalding of the curd. You will find the healing time is usually 5-15 minutes and varies by cheese type and your experience. Definitely add this step to your process.
Keith