koalasrule

I am now looking for a new digital camera as the auto-focus on my Nikon L1 is now kaput. The camera is 3 years old, so probably not economical to fix.

I'm looking for a compact camera, 5 x optical zoom or more (I don't need massive amount), and at least a 2.5" LCD screen. I quite like the Olympus MJU 7000 which has 7 x optical zoom and 12mp but I'm concerned that it seems to be an awfully large amount of megapixals and I read somewhere that more megapixals on a compact camera doesn't necessarily mean better quality photos. My budget is around $AUD350 max, and I really want something that I can take happy snaps with; I'm off on holiday in December and will want to take some scenery shots, so as long as they come out clear and not blurred I'll be happy. Is Olympus an ok brand or are they a bit crap? I read a few reviews of cameras before I purchased my Nikon and Which magazine gave the Olympus models a good wrap. I've also seen a Canon I quite like, and also a Pentax.

Recommendations appreciated.