PRECIOUS-Gold steady off 6-1/2-wk low, ETF near record high

                                
 * Firm dollar, long liquidation weigh on market
                                
 * SPDR Gold holdings rises closer to record high
                                
 By Chikako Mogi
                                
 TOKYO, Dec 22 (Reuters) - Gold prices steadied off a
6-1/2-week low in a technical rebound on Tuesday, but the
dollar's firmness limited the metal's gains amid light trading
ahead of the Christmas holidays.
                                
 Gold prices were confined to a range of less than $10 in
Asian trade as many players stuck to the sidelines ahead of the
holidays and after liquidating long positions on the dollar's
strength over the past few days.
                                
 Analysts said gold could test lows in the near term after
breaking $1,100 as investors close positions before the end of
the year, but their appetite to buy bullion on dips would support
the market.
                                
 Gold is now trading nearly 11 percent below record highs hit
earlier in the month.
                                
 "Gold broke the key resistance level of $1,100 yesterday on
the strong dollar. Rising dollar and strong recovery next year
would cap the upside gain in gold coming into year 2010," Phillip
Futures said in a report on Tuesday.
                                
 "On the other hand, potential inflationary threats might come
from crude oil as the economy picks up and this could keep the
gold price supported," it said.
                                
 Spot gold <XAU=> was up 0.2 percent at $1,094.65 an ounce as
of 0600 GMT, against New York's notional close of $1,092.85.
                                
 On Monday it fell as low as $1,089.85, its lowest since Nov.
6.
                                
 U.S. gold futures for February delivery <GCG0> were little
changed at $1,095.70 per ounce, compared to $1,096.00 on the
COMEX division of the New York Mercantile Exchange. Futures fell
$15.50 on Monday from the previous day.
                                
 There has been solid buying on dips in anticipation of
renewed price appreciation in 2010, underscoring extended gains
in the holdings of the world's largest gold-backed
exchange-traded fund, SPDR Gold Trust <GLD>.
                                
 SPDR Gold Trust <GLD> said its holdings rose by 6.097 tonnes
or 0.5 percent to 1,132.708 tonnes on Monday. They hit a record
high of 1,134.03 tonnes on June 1. [GOL/SPDR]
                                
 India's spot gold prices rose on Monday as buying gained
momentum in the market after a correction in prices in the
previous week, dealers said. [ID:nSGE5BK0A9]
                                
 The euro dipped below $1.43, near a 3-