I know that my DS7 tends to have vivid nightmares on the same nights I do. He's spoken of seeing men and young girls in his room. I tend to roll with is as well. I figure if it's good, then there is no point making too big a deal of it. If he's scared, then I don't do him any good by telling him he's scared of nothing. I tend to tell him that he is stronger than any monsters and a friend of mine got him giggling when he was 4 by telling him he should just turn the monsters into pancakes in his head and gobble them up.