TOKYO (AFP) - Tokyo stocks opened almost flat on Monday as investors waited for Wall Street to return to action after an extended weekend.
The Nikkei 225 index, which ended last week at its highest level since late January, slipped 3.64 points, or 0.02 per cent, to 15,433.49 at the start.
"The market is technically overheated, making further gains harder to come by past the mid-15,000 level," said Monex chief strategist Takashi Hiroki.
"It will take more positive US economic data, as well as further confidence in Prime Minister Abe's economic revival policies to enable the next upsurge," he told Dow Jones Newswires.
New York markets were closed Friday for the Independence Day holiday.
Currency markets were calm, with the dollar changing hands at 102.10 yen in Tokyo early Monday against 102.08 yen on Friday.
The euro bought US$1.3588 and 138.77 yen early Monday.