Most of us go thru this stage (ask you parents if you did when you were little)...Your daughter is going thru a developmental stage of her brain that is creating the "monsters" and nightmares. You are doing the right thing. Does she have a favorite stuffed animal that she absolutely loves to sleep with? If she does, you might try telling her that her "friend" is there to protect her and keep the "monsters" and "bad things" away. I know that worked really well with my 16-year-old, and we use that tactic with our 2 1/2-year-old now. What we are dealing with now with our little guy is the "night terrors" after he has gone to sleep, where he is balling in his sleep, but not waking up. I can rub his back gently and whisper soft soothing "sh sh sh" sounds to him for a little while most of the time, and he calms down, and is able to sleep the rest of the night without a problem. Sometimes, though, I have to FULLY wake him up, and rock with him for a few minutes. (This usually only takes a few minutes, as well, and it does NOT result in him being up ALL NIGHT, most of the time.) There is also a Golden Years Sesame Street book with Grover and his fear of monsters.....it's a great book to read with her, and should help her overcome some of her stress with this issue. (Can't remember the exact title right off hand...)
HTH, and good luck!!
~J.~
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