However, Reid may have to top the pounds 1m mark before Watford part with the pacy Furlong, who averaged a goal every other match last season. The former Coventry player also interests West Ham who, like City, have scored once in three Premiership matches.
Describing Sunderland's valuation of Goodman as 'excessive', Reid added: 'We've been monitoring Furlong's progress for over a year, and he'd be a useful addition to our squad. But I'm not prepared to pay over the odds for anybody.'
For tonight's home match against Blackburn, City may press Niall Quinn into service, although the Republic of Ireland centre-forward has not fully recovered from the ankle problem which has restricted him to one substitute appearance to date.
Wimbledon have abandoned their interest in Danny Wallace, the former England winger available on a free transfer from Manchester United.
Portsmouth are to submit video evidence to the Football Association in support of Lee Chapman, who was sent off on his home debut last week. The former Leeds striker faces a three- match suspension after appearing to elbow Charlton's Alan McLeary.
But the Portsmouth manager, Jim Smith, claimed the film showed 'no more elbow movement than you'd expect from a player jumping as Lee was - he is adamant it was not a deliberate foul and I believe him'. Chapman said: 'My record in the game shows I'm not someone who goes out to hurt opponents.'
Promotion of sorts for Chapman's ex-partner at Elland Road, Carl Shutt, who joined Birmingham on a month's loan yesterday. Shutt, No 27 in Leeds' 27-man squad, wears No 22 in place of the injured Paul Peschisolido at Plymouth tonight.
Coventry have taken Peter Shearer, the Bournemouth midfielder, on trial, while Alan Harper, freed by Everton, is considering an offer from Stoke. Gary Crosby, the Nottingham Forest winger, has gone on loan to Grimsby. Stan Collymore, Forest's pounds 2.2m striker from Southend, has recovered from tonsillitis and may make his debut tonight at one of his former clubs, Crystal Palace.
David O'Leary, who spent 20 years with Arsenal, misses tonight's match at Highbury after suffering a recurrence of Achilles trouble in Leeds'
4-0 defeat by Norwich. O'Leary will be out for seven weeks, but another former Arsenal favourite, David Rocastle, is in Howard Wilkinson's squad for the first time this season.
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