Hey! I've been teaching reading for over 35 years and I just sarted a teaching tips blog this month. http://educationtipster.blogspot.com It's got loads of great ideas already and I'll be adding tips almost daily. Let me know how you like it and if any of the ideas are helpful.
I would suggest that you use decoding as a method to teach reading. Your son looks for a small word within a larger word (eg., and inside the word stand). If your son is just learning to read you will need to find easy to read books for early readers so that he can be successful. There are some little reading booklets that can be downloaded from www.teachallkids.com that beginning readers can definitely read. You can always make your own. It is extremely hard to find books with words of only 3 or 4 letters which is all that beginning readers are able to read at first.
Use rhyming words, match words or letters to pictures, trace words, simple pre-beginner reading comprehension worksheets and anything fun that uses letters and words -- make words using scrabble tiles or letter magnets. If your son is reversing his letters then definitely have your son copy dot patterns - you make a set of 6x6 or 9x9 dots, draw a simple pattern on them and have your son copy it on another set of dots (if you don't want to draw your own, you can also find them on the Teach All Kids website.