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If she has graduated away from the kid's magic kits, it's time for some books.
"Now You See It, Now You Don't" is the best all-around beginner book imo.
I hear Joshua Jay's beginner book is good too: https://www.amazon.com/Magic-Complete-Course-Joshua-Jay/dp/0761149872
Can't go wrong with Mark Wilson's Complete Course book. Countless careers started there.
How old is he?
Get him Joshua Jay's Complete Course in Magic. It's super easy to read, has great photos, and covers card magic, coin magic, stage illusions, and tons of other stuff. Joshua also has this book for kids.
Royal Road to Card Magic is a book that starts with cuts and shuffles then progresses to card magic in the manner most helpful for building skill.
Also get him several decks so he can tear them up practicing.
Bicycle is the most universal brand. 808 Rider backs are the most common. So if he practices with those then he'll be great if someone hands him a deck at a party.
They're sold in "bricks' of 12 for cheap (compared to $3.50 a deck at Walmart).
So for like $40 you can start him on an amazing journey.
Joshua Jay has some great material for kids, some of which is DIY. Magic the complete course is great and has a kids section. He also has a book called Big Magic for Little Hands which has tricks for kids to learn how to do if you are maybe into teaching them something.
Magic: The Complete Course https://www.amazon.com/dp/0761149872/ref=cm_sw_r_cp_api_uNKtxbE5PTNRP
Big Magic for Little Hands: 25 Astounding Illusions for Young Magicians https://www.amazon.com/dp/0761180095/ref=cm_sw_r_cp_api_7OKtxb1Q9HCK8
This book would be a great fit for him:
It has a variety of tricks, great photos, and a companion DVD. Josh is a highly skilled magician and teacher (has written for the largest magic magazines, has published numerous books and DVDs for professionals, fooled Penn &amp; Teller this season on their show, etc). I think for beginners, there's pretty much no better value today than this book as a good start that will encourage him to continue pursuing magic.
In terms of cards themselves, he's best off with regular Bicycle cards in Standard/Poker size. They're what's most commonly available in all locations, and what you'll find most in terms of gimmicked/trick cards as well.
He may be small now, but he will grow into them. There are a lot of self-working tricks that won't require him to handle the cards like a master but will still be impressive.
If he gets used to bridge cards to other smaller decks, it'll pretty much set him up with a foundation on a size that's not very common or widely available.
I've known several young magicians from age 5-15 and all have managed to use standard size cards. It's more of a matter of practice and dedication than card or hand size.
Look up Moritz Mueller on YouTube, he's a young magician from Germany with pretty small hands who is quite good for his age - he even wound up on Ellen.
Magic is a terrific hobby that's lots of fun and can take you to unexpected places. I started when I was 8 and it wound up opening doors for me that I never thought possible. I'm in my early 30s now and am more involved in magic than ever.
Good luck to you and your son! I think it's great that you want to encourage him. It might even help his interest and success if you learn a few tricks together. It can provide some good bonding time as well.
EDIT - Josh's most recent book is geared specifically to kids, so that might also help with the small hands issue. https://www.amazon.com/dp/0761180095/ref=cm_sw_r_awd_dwZtwbSRBVCPB
I've not read this one myself, but being familiar with Josh's other stuff, I've no doubt that it's quality material.
Also, more specifically to coins, a terrific gimmick that would be easy for him to learn but that doesn't look like a gimmick or prop is called Scotch and Soda. They're available in different types of denominations, and there are a few different books and videos on the market that teach several routines with them.
Some other coin magicians to look into would be David Roth and Eric Jones. There's a book called "Modern Coin Magic" by JB Bobo that's considered to be the bible of coin magic, but I think it would be quite a challenging read at this stage. Eric Jones has a 3-DVD series called Metal sold at Ellusionist.com that would give a good foundation in sleights with coins.
A book on general sleight of hand that I started with young and is a great foundation is Now You See It, Now You Don't by Bill Tarr. Lots of valuable info in there. And there's definitely a fantastic advantage in being able to borrow any deck, coin, pen, etc and do magic with it.
If he sticks with magic, then in a few years I'd highly recommend the DVDs "Off the Cuff" and "On the Spot" by Gregory Wilson. They cover a ton of magic with normal items in unprepared situations. They'd be perfect as he starts getting into his early teens.
And now that I've written you a novel, I'll echo the sentiment that if you have a brick and mortar magic shop near you, paying them a visit can be tremendously helpful!
After the hands thing you've mentioned I usually do this (terrible video but I can't find anything better online in the 10s I searched YouTube). I have also gone from that second effect directly into the 'glass of water from sleeve' production that is described in a book I bought for my god-son last year!! I think it's this one by Joshua Jay. Despite being a kids book it had a couple of cracking effects in it!!
As for getting rid of spike roulette, someone mentioned Outlaw Effect's Scorpion on here as an alternative last week. I remember your screen name though and so seeing as you're a regular on here, you probably seen the post I'm referring to.
Anyway the other puzzle and water production I've suggested work well from what you've started with. The fact you've been twisting your arms about etc. seems to imply you can't have anything hidden up your sleeve which is a good intro to the water production.
Probably with this.