You can even write the stories down, and collect them all into one big storybook. Have the children make a dragon puppet from a paper bag. Read the story Puff the Magic Dragon, watch the video, sing the song. This is always a great favorite of children. Talk about and look at Chinese dragons.
Chinese dragons are symbols of luck, prosperity and protection.
You could make a Chinese dragon in your daycare by using a paper mache head and a decorated sheet. A really fun project that could get all the children involved. Provide several pictures of dragons for inspiration and have children draw their own dragons. Tape several episodes, and show them to the children, discuss the problems solved in each episode. As the Emperor was about to eat his morning egg, out jumped a little smiling dragon.