(Updates with Nikkei, Topix levels 7)

TOKYO, April 28 (Reuters) - Japanese shares extended gains after the Bank of Japan (BOJ) recommitted to its ultra-loose monetary policy on Thursday, with investors relieved to see no negative surprises for the stock market.

The BOJ maintained its massive stimulus program and pledged to continue buying unlimited amounts of 10-year government bonds to defend the implicit 0.25% cap on its policy interest rate, signalling its resolve to focus on supporting a fragile economy.

"The outcome was in line with our expectations but there had been some uncertainties that the BOJ might change its policy. Those worries have been removed, which boosted the appetite for stocks," said Shigetoshi Kamada, general manager at the research department at Tachibana Securities.

By 0404 GMT the Nikkei share average had risen 1.2% to 26,705.36, after entering negative territory earlier in the session. The broader Topix had gained 1.42% to 1,886.86.

The Japanese market opened with modest gains, but the increase was limited as investors awaited the outcome of the BOJ's two-day meeting.

Overnight, the Nasdaq Composite eased 0.01%, after posting its lowest close since December 2020 in the previous session, while the Dow Jones Industrial Average and the S&P 500 ended higher. (Reporting by Junko Fujita; Editing by Bradley Perrett)