(Updates with prices as of 0630 GMT)

By Brigid Riley

TOKYO, Nov 14 (Reuters) - Japan's Nikkei share average

closed lower for a third-straight day on Thursday despite the

yen falling to fresh lows, as major technology stocks tracked

their U.S. peers lower.

The benchmark index started the day on the rebound,

briefly crossing above 39,000 points during morning trade, but

finished down 0.5% at 38,535.70 - its lowest closing level in

just over a week as tech losses extended.

The broader Topix fell 0.3% to 2,701.22.

Chip-related shares Tokyo Electron ( TOELF ) and Advantest ( ADTTF )

slid 3.5% and 2.8%, respectively, to weigh the heaviest

on the Nikkei.

AI-focused startup investor SoftBank Group was down

3.2%, while Lasertec ( LSRCF ) shed 5%.

Heavyweight Fast Retailing ( FRCOF ), meanwhile, helped limit

losses as the Uniqlo parent firm rose 1.4%.

The banking sector added 0.9% as investors eyed a

slew of earnings releases from large domestic banks on Thursday.

The yen's slide below 156 per U.S. dollar lent some support

to export shares including automakers, but gains narrowed during

afternoon trade.

Toyota Motor ( TM ) ended just 0.2% higher.

"My impression is that the upside (for gains on the

Nikkei) faces resistance for now," said Hiroshi Namioka, chief

strategist at T&D Asset Management.

The so-called "Trump trades" have boosted U.S. shares to

record highs, in turn lifting Japanese equities last week.

The Nikkei has since faltered as investors booked profit

and weighed how the incoming Trump administration's stance on

trade and tariffs could impact Japan.

At the same time, "there haven't been any particularly

noticeable policies coming out (from the incoming

administration)...that determine the direction of Japanese

equities," said Namioka.

Amid the uncertainty, the Nikkei is likely to hold in the

38,000 to 40,000-point range in the medium term, he added.

The largest percentage loss in the index was

Kansai Electric Power ( KAEPF )

, down 18.5%, after the Japanese utility firm

announced on Wednesday plans to raise 504.9 billion yen ($3.3

billion).