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I own a Palm TE2 and do a great amount of reading on it, using Plucker, an open-source reader that offers many features, including autoscroll (which I would imagine would be highly desirable for you). You have many choices of format with Palm OS.
My only suggestion would be to consider a Palm T5 or TX, depending on your finances and what you can find. The T5 predates the TE2, the TX came later, and they have varying bells and whistles, many of which you may or may not care about. The reason I suggest them is that while they have the same form factor as the TE2, they can display 320 x 480 pixels rather than just 320 x 320. You could then turn the unit sideways and have a wider screen for reading-- might also enable you to use a larger font comfortably if desired. My brother has a TX and it's pretty nice.
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