TOKYO, Oct 29 (Reuters) - Japan's Nikkei average is likely to face selling pressure on Friday after the yen regained ground against the dollar, but is expected to trade in a tight range before a blizzard of earnings reports due after the close.
Investors will be cautious about taking fresh positions ahead of the weekend and before a series of results from the likes of Sony Corp, Honda Motor, Panasonic and Nomura Holdings.
"The yen's strength is a bit worrying. A further advance in the yen would put pressure on the Nikkei," said Hiroichi Nishi, general manager of equity marketing at Nikko Cordial Securities.
"But the Nikkei will struggle to find a clear direction today before earnings today. The market also doesn't want to take big positions ahead of the Federal Reserve's decision next week," Nishi said.
The benchmark Nikkei is expected to move between 9,250 and 9,450, market players said.
On Thursday, the Nikkei closed down 0.2 percent at a six-week closing low of 9,366.03.
Nikkei futures traded in Chicago closed at 9,355, down 0.2 percent from the Osaka close of 9,370.
The Nikkei will come under pressure as the dollar approaches a 15-year low of 80.41 yen and a post-war historic low of 79.75 yen marked in April 1995.
The dollar was trading around 81.00 yen in early Asian trade after hitting a two-week high of near 82 yen on Wednesday.
The Nikkei's topside is seen capped at the 25-day moving average, now seen at 9,478, Nishi said.
Still, the Nikkei is seen supported at the upper level of its daily Ichimoku cloud near 9,300, but its technical trend will deteriorate if it closes below that level, analysts said.
STOCKS TO WATCH
-- Toshiba Corp Chipmakers Intel Corp, Toshiba Corp and Samsung Electronics Co Ltd will join hands to develop technologies that could more than halve semiconductor line widths to nearly 10 nanometres by 2016, the Nikkei daily reported.
-- Seiko Epson Corp
Seiko Epson has decided to to exit the LCD panel business to focus its resources on its printer and other core operations, the Nikkei business daily reported on Friday.
Seiko Epson's panel operations fell behind in price competition with Asian rivals in the fast-growing market for displays uses in smartphones, the Nikkei said.
-- Nintendo Co Ltd
Nintendo's quarterly profit halved, hit by a strong yen and slowing sales of game machines, underscoring a steady decline in earnings that some analysts warn could stretch well into next year.
-- Sharp Corp
Sharp, hit by the yen's rise and falling prices for its liquid-crystal display panels, aims to cut costs and push sales of its speciality 3D and extra-large panels, but admits the outlook is murky.
-- Sumitomo Mitsui Financial Group
SMFG, Japan's third-largest bank, said its first-half profit would be more than double a prior forecast due to strong bond trading gains and a drop in costs to deal with bad loans.
-- Nidec Corp
Nidec will begin making switched reluctance motors from 2012 as it reduces its reliance on rare earth materials used in the production of precision motors. (Reporting by Chikafumi Hodo; Editing by Chris Gallagher)