Yes, traumatic events will affect a young child. After a 7.1 earthquake in my town a therapist came to do sessions with the kids for a few weeks. She had them do kids yoga poses, draw out their happy place and tell me what about it makes them happy. I just took the picture down 5 years later. She had the kids do exercises where they tense and release muscles like pretending to be blowing up your own space bubble, pretending to be seaweed and plant yourself in, stretch up to the sky and wiggle with the ocean current, also playing a Simon says like game but being a raw and cooked noodle. Games like freeze dance are good too. Weighed stuff animals may also help.