The Watford deal is reportedly expected to be completed in the next few days.
The Hornets are on the up after the appointment of Nigel Pearson. Watford thumped fellow strugglers Bournemouth 3-0 on Sunday and are out of the relegation zone for the first time in ages.
With the transfer window open for another 19 days, Watford would like to bring in a few players to boost their chances of survival and 24-year-old Argentine Ignacio Pussetto could become Nigel Pearson’s second signing as Hornets boss after teenage Brazilian Joao Pedro.
The reported interest in Palacio is strange on the footballing front considering that Watford have enough wingers in their side already. Gerard Deulofeu, Ismaila Sarr, Isaac Success, Roberto Pereyra and Danny Welbeck all capable of playing out wide.
Pussetto has played 14 games for the Italians this season but only three of them have come from the start. The Italian has scored just five times in his last 50 games in all competitions which begs the question as to what he will add to the Hornets this season.
Udinese are owned by the Pozzo family who are also the owners of Watford. A number of exchanges have happened between the two clubs in the past and this could well be a decision made by the higher-ups rather than the manager himself.
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