Wales let go of a two-goal lead as Iceland hit back to force a 2-2 Nations League draw in Reykjavik.
Brennan Johnson maintained his outstanding scoring record and Harry Wilson was also on target as Wales built up a good interval advantage.
But Iceland substitute Logi Tomasson turned the game around three minutes into the second half as Wales couldn’t hold back the tide of blue that came towards them.
Wales go into the contest buoyed by positive performances and four Nations League points from Craig Bellamy’s first two games in charge last month.
Captain Aaron Ramsey, Ethan Ampadu and Daniel James were all absent through injury as Bellamy wrapped up the 2-1 win in Montenegro.
Ampadu, Karl Darlow, Chris Mepham and Lewis Koumas with Johnson – Niksic’s replacement – among those returning after scoring in six consecutive games for Tottenham.
Iceland – down to 71st in the world rankings and 42 places lower than Wales – includes Andri Gudjohnsen, the 22-year-old son of former Chelsea and Barcelona forward Eidur.
On a cold and difficult afternoon in the world’s northernmost capital, Wales took time to warm up while Iceland started the race early.
Wales capitalized on their first strike after 11 minutes when Ben Davies picked out Wilson with a superb ball over the top.
Wilson’s shot was partially saved by Hakon Valdimarsson who raced back towards goal to stop the ball going over the line.
Valdimarsson managed to do just that, but could only push Johnson to head home from the spot for Wales’ fourth goal.
The relationship between Wilson and Johnson was a constant cause of concern for the hosts Iceland, who made several promising positions before being let down by the shooting.
Wilson’s shot hit the post with Valdimarsson rooted to the spot, but the Fulham forward didn’t have to wait long for his 11th goal in Wales.
Neco Williams’ raking pass picked out Wilson’s run from deep and finished with an emphatic left foot.
Gudjohnsen was inches from reducing the deficit as Williams produced a brilliant goalline clearance and Johann Berg Gudmundsson curled the free-kick wide.
Wales should have had their third before half-time as Wilson’s defense-splitting ball sent Sorba Thomas through for a one-on-one contest which Valdimarsson won.
Only the first half of the blot for Wales was the second order in the competition for Johnson, ruled him out of the home game on Saturday against Montenegro, and he made way on the break for Wes Burns.
There was a clear shift in momentum at the start of the second period as Mikael Ellertsson had a glorious chance and Orri Oskarsson caused real problems for the Wales defence.
Oskarsson hit the crossbar from 20 yards and then forced a save from Ward.
Ollie Cooper broke the shackles to try Valdimarsson with a low drive, but Ward made an outstanding save from Gudmundsson before Tomasson’s decisive contribution.
It almost got worse for the Dragons as Thorsteinsson clattered the post two minutes from time.
But Wales held on for a draw as Bellamy became the first Wales manager to go unbeaten in each of his first three competitive matches.
What’s next?
Wales’ Nations League campaign continues this week when they host Montenegro on Monday 14 October; kick off 7.45pm.