The catalyst for this month's fall in Tokyo share prices was selloffs by foreign investors, notably U.S.-based players.

Although the structural reform program advocated by Prime Minister Junichiro Koizumi has garnered high public approval, it remains anybody's guess whether a strong pickup in foreign buying is on the way.

The Tokyo stock market, as measured by the 225-issue Nikkei average, appears likely to move between 12,500 and 14,500 in the near term, with speculation over foreign investors' purchases continuing to play a role in daily activity.