When you (SYSTEM) wrote: "...If that is enough for you, then yes, it will work." I was really hoping that you would have been right... (please read further)...
OK, this is what I did:
1) I created 3 folders:
- C:\SOURCE <<-- (this contains the "Test.txt" file)
- C:\TARGET ON THE SAME VOLUME <<-- (this contains nothing)
- E:\TARGET ON ANOTHER VOLUME <<-- (this contains nothing)
2) Then I (successfully) created the hardlink with fsutil in this way:
fsutil hardlink create "C:\TARGET ON THE SAME VOLUME\Test.txt" "C:\SOURCE\Test.txt"
3) When I attempted to create the junction (with either linkd.exe or junction.exe) in this way:
Linkd "C:\TARGET ON THE SAME VOLUME" "E:\TARGET ON ANOTHER VOLUME"
OR
junction "C:\TARGET ON THE SAME VOLUME" "E:\TARGET ON ANOTHER VOLUME"
The error "Cannot create a file when that file already exists" popped up. This would suggest that the junction point source (the "TARGET ON THE SAME VOLUME" folder) should not exist... In fact I noticed that it gets created by the console.
I have tried the other way around (creating first the junction point and then the hardlink) but fsutil returns the infamous error "The new link and the existing file must be on the same volume."

Am I doing something wrong? Am I missing something?