John Toshack has stood down as Wales manager with immediate effect after his six-year reign by "mutual consent".

But the 61-year-old insisted he had wanted to continue for their key Euro 2012 qualifiers in October.

"I thought after three matches we would review everything," he said. "But we have come to the agreement that this might be better for everyone concerned.

Toshack was so upset with Wales' Euro qualifying loss in Montenegro that he discussed his future with his bosses.

There had been optimism this could be the campaign in which the Wales squad came of age but Friday's performance in their Euro 2012 qualifying opener in Montenegro was a hugely disappointing start.

Toshack admitted another Group G defeat by Bulgaria at the Cardiff City Stadium on 8 October or against Switzerland in Basle on 12 October would leave Wales without "too much chance" of making it to Poland and Ukraine in 2012.

606: DEBATE Now that Toshack has left the manager's job, it surely has to be Brian Flynn's chance Saints19

Toshack, who has presided over a time of transition in Welsh football, had discussed his future with the Football Association of Wales and appeared before the media alongside president Phil Pritchard and chief executive Jonathan Ford at Thursday's media call.

And Ford announced: "The FAW wishes to announce that Mr John Toshack, the national team manager, and the association have mutually decided to cease his employment of the post with immediate effect."

But Toshack admitted: "To be honest, I didn't decide to finish at the moment, I understood the situation but I was quite prepared to go onto the next two matches.

"If the results do go against us, I think I would have preferred that to happen with me still in charge.

"Wales are still very much in this group, and now the decision has been made hopefully they'll be able to get some positive results in the next two games.

Toshack admitted he started to become concerned after a friendly loss in Croatia in May, when his squad suffered 15 withdrawals.

"I spoke to the president after the game in Croatia about reviewing it after the first three matches of this group, and we would review everything.

"And even after the disappointment of the game in Montenegro that was still the way I felt.

"I discussed things after the game and each of us put our point of view over a few things and really we have come to the agreement that it may be better for everybody concerned if a change was made now."

Toshack added a decision has only been made in the last 24 hours as he travelled to Sofia on Tuesday to watch Wales' group rivals Bulgaria lose 1-0 to Montenegro .

BBC Sport understands that none of Toshack's coaching staff - which includes assistant manager Roy Evans, coach Dean Saunders and goalkeeping coach Paul Jones - have been contacted by the FAW whether they still have roles within the organisation.

The FAW is to make an announcement about Toshack's successor in due course with former Wales favourites Chris Coleman and John Hartson having declared their interest.

Former Fulham manager Coleman is out of work after being sacked by Coventry City in May while former Wales striker Hartson, who has never managed, but has completed the relevant Uefa Pro Licence qualification.

Jackett is hot property after guiding Millwall to League One promotion and into the Championship play-off places but he has ruled himself out.

Welsh youth guru Brian Flynn, who Toshack named in his backroom staff six years ago, would be a popular successor as would former Wales captain Ryan Giggs - but the winger is still playing in the Premier League with Manchester United.

Toshack, whose contract ran until 2012 replaced Mark Hughes in November 2004 and has had to deal with a number of high-profile international retirements.

Experienced players including Ryan Giggs, Gary Speed, Robbie Savage, John Hartson, Mark Delaney and most recently Simon Davies quit Wales during his tenure for various reasons.

So Toshack, who awarded 43 players their first Wales cap, put his faith in youth and fast-tracked talented youngsters such as Gareth Bale, Jack, Collison, Joe Ledley, Aaron Ramsey and Wayne Hennessey into the senior side.

Toshack, who had a one-game spell in charge in 1994, guided Wales to 10 competitive wins in 29 qualifiers - losing 16 - since his first game in March 2005 but failed to claim the scalp of a major footballing nation.

The most notable result of his second tenure in charge as Wales manager was a goalless draw in their final Euro 2008 qualifier in Frankfurt in November 2007 against eventual tournament runners-up Germany.

Toshack had a slightly better record in friendlies - winning 10 of his 23 non-competitive internationals - but apart from Brazil in 2006 and the Netherlands in 2008, Wales did not play many forces of international football.

Sport Wales looks at Wales after Toshack on Friday, BBC TWO Wales 2100-2130 BST.

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