Japan's Nikkei dips 1% amid US-Iran tensions

By Satoshi Sugiyama

TOKYO, Feb 20 (Reuters) - Japan's Nikkei share average fell on Friday, tracking Wall Street's loss, as uncertainties over geopolitical tension between the U.S. and Iran brewed and technology stocks dragged.

The Nikkei .N225 fell 1.1% to 56,821.39 in morning trade, while the broader Topix .TOPX sank 1.2% to 3,805.43.

"With a three-day weekend coming up (in Japan), there's a move to lock in profits for now on concern that something might happen between the U.S. and Iran during the holiday," said Yutaka Miura, senior technical analyst at Mizuho Securities.

U.S. President Donald Trump warned Iran it must make a deal over its nuclear program or "really bad things" will happen, and set a deadline of 10 to 15 days, drawing a threat from Tehran to retaliate against U.S. bases in the region if attacked.

The air transport sector was among the worst performers among the Tokyo Stock Exchange's 33 industry groups with a 3.1% drop. Japanese air carriers ANA Holdings 9202.T lost 3.2% and Japan Airlines 9201.T shaved 3%.

Tech shares dragged down the Nikkei index the most. Chipmaking equipment maker Tokyo Electron 8035.T slid 3.4%, and technology investor SoftBank Group 9984.T sank 3.2%.

Meanwhile, drugmaker Sumitomo Pharma 4506.T shares plunged roughly 13% in choppy trading, after rising as much as 6.8%, on profit-taking following a health ministry panel's approval of the drugmaker's iPS cell-derived treatment for Parkinson's disease.

The stock's 14-day relative strength index (RSI) reached 74.8 on Tuesday. A figure above 70 indicates that the price gain is overstretched.