Nottingham Forest are in the Premier League’s top four for the first time since August 1998 and the mood around the City Ground is buoyant. After a third league win in a row, Forest’s fans are even chanting about possible European excursions next season.

While head coach Nuno Espirito Santo is desperately battling to keep a lid on expectations, at least within his squad, he also once said that “dreaming is free”.

Telegraph Sport examines how Forest have made such a stirring start to the season.

Nuno’s philosophy

After a difficult, and brief, experience with Tottenham, there were a few doubters when Nuno was appointed by Forest last December. Yet you have only to consider his remarkable transformation of Wolves to know that the brooding, bearded Portuguese is a savvy operator.

Forest are solid at the back – the head coach now prefers a back four over his infamous back three with Wolves – with a midfield combining steel and invention, and a talismanic striker up front.

Nuno’s game ideal is to remain compact before spectacularly breaking lines by utilising pace on the counter-attack. In statement wins over Liverpool and West Ham, that philosophy has been clear to see.

Do not underestimate the importance of a full pre-season either. Nuno found last season difficult but using the summer to build relationships and a “team bond” is proving crucial to what has followed. He was able to instil his strategy in more detail, while the social aspect of having his squad together without interruption was invaluable.

Wood’s resurgence

With a better shot conversion rate than Erling Haaland, Chris Wood has made a stunning start to the season.

The Kiwi collected his eighth league goal of the campaign against West Ham and is now only one goal away from equalling the Premier League record of 24 scored for the club by Bryan Roy.

Wood works hard, brings other players into the game and provides clinical finishes – particularly his double in the 3-1 win over Leicester last week.

As reported by Telegraph Sport, Wood’s representatives are in talks over a new contract and the 32-year-old is a key player for Nuno, just as Raúl Jiménez was during those magical times at Wolves

Defensive resilience

Last season, the theme music from Jaws would have been a fitting soundtrack whenever Forest faced a corner.

They conceded a league-high 22 goals from set-pieces last season and appeared vulnerable whenever the ball was aimed into the box.

What did they do to solve it? They signed Nikola Milenkovic from Fiorentina for just over £10 million, an imposing centre-half who won the most aerial duels in Serie A last season. Milenkovic’s impact has been significant and he has also helped bring on the defensive awareness of talented Brazilian Murillo.

Matz Sels, the goalkeeper, looks far more comfortable and the clean sheet against West Ham was the team’s fourth of the season. Nuno also likes to stress that defending starts from the front: when West Ham did breach the defence on Saturday, it was none other than Wood clearing a Lucas Paqueta shot off the line.

Unsung stars and coveted talent

Forest have assembled a squad of high potential, with a number of stars who go under the radar.

Nicolás Domínguez, an Argentinian midfielder, was outstanding against West Ham and is proving indispensable on current form. He is one of those players who does all the unseen work.

Ola Aina was a low-key arrival on a free transfer from Torino last summer but has been outstanding, crashing in a spectacular goal against West Ham on Saturday. Ryan Yates, the captain, continues to be a model of consistency. Summer signings Jota Silva and Ramón Sosa are high-quality options from the bench when the need is to stretch teams late in matches and both wingers offer competition to Callum Hudson-Odoi and Anthony Elanga.

Then you have a core of exciting young talent such as Morgan Gibbs-White, who returned from injury on Saturday and was arguably the best player on the pitch. That fee of £25 million from Wolves suddenly looks very shrewd.

Elliot Anderson, a £15 million capture from Newcastle, has made a vast impression and Forest insist it is inevitable he will be a future England senior international.

Can they sustain it?

Nuno insists Forest can get better after the demolition of West Ham, but he is a head coach who will not get carried away.

He is wedded to the “one-game-at-a-time” theme, which can prove a challenge to reporters scratching around for a line. Complacency is his biggest fear and, on Saturday, he said: “If you get distracted, football doesn’t forgive you.”

The visit of Newcastle next weekend will be another test, while they travel to Arsenal after another unwanted international break. But Forest have nothing to fear, after a historic win at Liverpool and impressive performances at Chelsea and Brighton already this season.

At the start of the season, most fans would have settled for not enduring another relegation battle but there is a feel-good factor now – these are clearly exciting times.