Kevin Watson's goal just after the hour earned Reading their fourth consecutive league win and lifted them above Watford in the First Division table with two games in hand.

The fast-improving Royals are on a roll and showing the sort of form that could establish them as surprise promotion candidates when the season boils to a climax.

But they also had to thank American goalkeeper Marcus Hahnemann for a series of fine saves, particularly in the first half when he kept out a Neil Cox penalty, which had been awarded for hand ball against Nicky Shorey.

Heidar Helguson then made great contact with a Neal Ardley cross but again Hahnemann was up to the task, parrying the Icelander's header.

Cox headed over from the corner and makeshift central defender Marcus Gayle was just off target as Ray Lewington's visitors carved out several chances as the interval approached.

Jamie Hand also went close for Watford, but they could not breach Hahnemann's goal.

Both teams were slow to get into their stride in the second half, but Watson looked determined to get on the scoresheet as he continued to fire shots from all angles.

In the 61st minute his perseverance paid off as the former Rotherham midfielder drilled the ball home low into the centre of the goal from 20 yards.

Four minutes later, Allan Nielsen had a fine chance to equalise but headed wide from close range.

Jamie Cureton had a similarly good opportunity to put Reading 2-0 up but wasted it, while Hahnemann continued his heroics by denying Helguson and Ardley, whose corner almost drifted into the net after 85 minutes.

Seven minutes of stoppage time brought no further goals as Reading continued their climb.

Reading: Hahnemann, Murty, Williams, Upson, Shorey, Hughes, Watson, Harper, Salako, Cureton, Butler.
Subs: Mackie, Rougier, Igoe, Ashdown, Tyson.

Watford: Chamberlain, Cox, Doyley, Gayle, Ardley, Nielsen, Hyde, Hand, Robinson, Pennant, Helguson.
Subs: Tommy Smith, Glass, Mahon, McNamee, Lee.

Referee: F Stretton (Nottinghamshire).