The Daily Mail says Graham is close to a £5million move to Sunderland but if he signs for the Wearside club it will be a controversial move to say the least.
The Gateshead-born striker supports Newcastle and in an interview conducted during his time at Watford was asked who he would support if his club ceased to exist.
Graham replied: "Put it this way. I would stay as far away from Sunderland as I could. It would probably have to be Gateshead."