The Spanish trainer has described his dismissal as an 'unwanted' and 'abrupt' one but insists that will not cause a fall-out between him and the club’s hierarchy.
"After the unexpected announcement about the termination of my contract after only four matches, I want to express my surprise after completing the best season in Watford's history.
"I respect this decision and I'd like to reassure the excellent relationship I have with [Watford owner] Gino Pozzo and [technical director] Filippo Giraldi, and this is not going to change despite my abrupt exit of the club," Gracia said.
"I am grateful to this club for allowing me to manage this great club in the Premier League, it has been an incredible experience, with very special moments like the FA Cup final I had the privilege to enjoy."
Recording just one point out of their first four games for the season, the Hornets have terminated the 49-year-old’s contract and replacing him with former manager of the side Quique Sanchez Flores.
Javi Gracia guided the side to a 11th place on the league table and also reached the FA Cup final last term.
Flores will be at the helm when Watford host Arsenal in the Premier League match-day five on Sunday.
The former Espanyol tactician has returned to the Vicarage Road after leaving the side in 2016 as he joined from Chinese outfit Shanghai Shenhua.
