PRECIOUS-Gold firms on weak dollar, rising oil; ECB eyed

* Dollar weakens versus the euro as equities recover * Oil up 3 percent on expected output cuts, cold snap * Traders eye ECB rate decision on Thursday for direction (Updates throughout, previous SINGAPORE)

By Jan Harvey

LONDON, Jan 14 (Reuters) - Gold firmed in Europe on Wednesday, supported by a weaker dollar and rising oil prices, though it pared gains as the euro slipped from highs against the U.S. currency and equities and base metals turned negative.

Trading is expected to be muted ahead of the interest rate announcement of the European Central Bank on Thursday. The ECB is widely expected to cut rates by 50 basis points.

Spot gold XAU= was at $824.20/825.60 an ounce at 1026 GMT, down from $821.05 late in New York on Tuesday. It touched a high of $828.65 earlier in the session, but slipped as the euro retreated and European equities and base metals turned negative.

"Everyone is in wait-and-see mode for the ECB," said Simon Weeks, director of precious metals at the Bank of Nova Scotia.

In the short term, gold risks being caught up in falling equity and industrial metals prices, he said.

However, with interest in investment products such as exchange-traded funds remaining high, "there is certainly an element that views gold as a safe haven," he said.

"As long as that interest continues, it is a very good signal for gold in the long term," he added.