Hi,
My DS4 started reading around the same age as your DD and he is the same. He still does not sound out words, much to his teachers frustration. I was taught to read by sight words - there was no phonics at all, so I don't think that there is a best way of doing it.
Is your DD visual? Memorizing is probably her way. DS had books memorized and then then suddenly he realised that where ever he saw the letters c-o-o-k together it always meant cook and then blam! reading.
I gave up trying to get DS to sound out words...it was frustrating to him. Now i only make him sound out the words that he knows but is to lazy to read properly...the most i make him do is 1 or 2 words a page, i tell him the rest because he just remembers it forever.
I second the making her some books that she can read. My DS still loves this though they are getting harder for me to write!
