Your question is a very timely one, r_m, because I'm currently looking into ways of making Chi work better on touch screens.
When I look at Chihuahua on an Android tablet, I find it fairly easy to make the words scroll, without any definitions popping up. (Of course, getting enough words to need to scroll is a different problem, but I can take the easy way out and bring up the solution of a past puzzle.) However, when I try the same thing on an iPod Touch, I strike the same problem as you, r_m. The dictionary display is very likely to be triggered. I don't have an iPad to experiment on, but I imagine it would respond in a similar way to the smaller i-gadget.
You may find the problem is reduced if you use two fingers to scroll, but of course you have to make sure your two fingers make contact with the screen at about the same time.
Actually there's a similar problem that can arise on a computer when using the mouse. There are two things you can do with a word you have already played: you can drag it up the screen to place the word back on the playing rack; or you can just click on it to bring up the dictionary window. When you're trying to do the former, it's quite easy to let go of the mouse button too soon, and get the dictionary. So I'm thinking that in future selecting a word on any type of screen (by clicking with a mouse pointer or tapping with the finger) should cause a little options menu to pop up, so you can select either copying the word to the rack or defining it - or make the popup menu disappear by clicking/touching somewhere else on the screen.
Alerted by your question, I find that this new version I'm working on makes scrolling even harder on the iPod Touch, and presumably on an iPad too. So you can see why I said your post was timely. Maybe I should make it so you have to hold your finger on a word for half a second or so to bring up the options menu, and I should be able to make sure that the popup doesn't appear if your finger has moved an appreciable distance during that half second, which might mean you're scrolling.