You don't seem stupid so don't worry about that.
ServerName (services.conf) shouldn't be irc.skippy.dtdns.net because that's what you're calling the ircd in inspircd.conf - They need to be different; ie.
irc.skippy.dtdns.net is ideal for your IRC Server (inspircd)
services.skippy.dtdns.net is a natural option for your services server (anope).
I'd be inclined to suggest making those changes both to ServerName(services.conf) and the link block in inspircd.conf.
Once you've done that, you'll also need to add a "uline" for services.
<uline server="irc.skippy.dtdns.net" silent="no">
Change that ^ to whatever you decide to call services.
Once you've got that sorted, try again and see how we get on.
If still no dice, locate the services.log.(todaysdate) file in your anope logs dir and paste it here for us to see why it's not linking.
We'll get there =)