Source: www.people.com By Courtney Rubin and Mariana Grebler Originally posted Friday May 09, 2008 04:25 PM EDT Whitney Houston has taken another step in her comeback. The diva wowed the crowd when she performed Thursday at the Caudwell Children Legends Ball, at Battersea Park in London. During her hour-long set, Houston "both looked and sounded amazing," a guest tells PEOPLE. "She was fantastic." Houston, who is working on a new album with her old friend Clive Davis, sang hits, including, "I Wanna Dance with Somebody," "I Will Always Love You," "The Greatest Love of All," and "Saving All My Love for You." "It was like her greatest hits, only live," adds the guest. Houston, who has had a tumultuous custody battle with her ex-husband Bobby Brown, brought daughter Bobbi Kristina, 15, on stage and introduced her as "the love of my life." The pair performed a duet of "My Love Is Your Love." Among the ...