Forest have been working on a deal for the Argentine midfielder, with Remo Freuler having been proposed to Bologna as part of the agreement.
It is unclear if Freuler will be going to Bologna, but Nottingham Forest have found an agreement for Dominguez.
The Premier League side have a verbal agreement for Dominguez, according to Argentine journalist Cesar Luis Merlo.
The Argentine midfielder is happy to make the move and the final details are being ironed out in order that he can travel to England on Wednesday.
Dominguez, 25, would then be put through a medical by Nottingham Forest and if he comes through it will sign a five-year contract.
Bologna signed the midfielder from Argentine giants Velez Sarsfield in 2019 and he started life at the Italian club in 2020.
Dominguez has substantial experience playing in Serie A and has also been capped by Argentina at international level.