(Updates with prices as of 0600 GMT)

By Brigid Riley

TOKYO, Oct 21 (Reuters) - Japan's Nikkei share average

fell in choppy trade on Monday, despite gains in technology

stocks, as caution ahead of a domestic election and corporate

earnings weighed on sentiment.

The Nikkei closed 0.07% lower at 38,954.60, while

the broader Topix was down 0.34% at 2,679.91.

Japan's tech shares followed their U.S. peers higher to keep

the Nikkei in the green for much of the day, after an

earnings-driven jump in Netflix ( NFLX ) shares and broader

gains across tech stocks on Friday.

The Dow Jones Industrial Average and S&P 500 chalked up

record closing highs last week, with the Nasdaq also in positive

territory due to the tech bump.

Japanese chip-testing equipment maker Advantest ( ADTTF )

gained 2.7% to offer the biggest lift, followed by chip-making

equipment giant Tokyo Electron ( TOELF ) added 0.9%.

However, the Nikkei struggled for momentum outside of tech,

briefly slipping to its lowest since Oct. 4 at 38,775.59 as

investors eyed more company earnings announcements later this

week.

Japan will vote in a general election on Oct. 27 and it

remains to be seen whether the ruling Liberal Democratic Party

(LDP) will succeed in winning the 233 seats needed for a

lower-house majority.

"It seems like investors are refraining from active trading

in anticipation of these events", creating a heavy upward

resistance, said Masahiro Ichikawa, chief market strategist at

Sumitomo Mitsui DS Asset Management.

If the LDP fails to retain a majority in the election, it

could "heighten uncertainty and potentially lead to increased

volatility in the market", he added.

Of the Nikkei's 225 constituents, only 74 advanced while 150

retreated, with Uniqlo's parent firm Fast Retailing ( FRCOF )

dropping 0.8% to weigh the heaviest on the index. One share was

untraded.

Among other major shares, telecoms company KDDI ( KDDIF ) and

electronic component maker TDK both slid about 1.3%.

Automaker Toyota ( TM ) lost 0.4%.