Barclays, Glencore earnings knock FTSE back from Monday's record high

* Blue-chip FTSE 100 index fall 0.1 percent

* Barclays (LSE: BARC.L - news) , Glencore (Xetra: A1JAGV - news) slip after updates

* Shire (Xetra: S7E.DE - news) up on broker comments (Recasts, adds quote, detail)

By Alistair Smout and Atul Prakash

LONDON, March 3 (Reuters) - Britain's blue-chip share index gave up early gains for a third straight session on Tuesday, dropping back from record highs, as Glencore and Barclays weighed on the market after earnings releases.

Barclays fell 3.3 percent after saying it had set aside an extra 750 million pounds ($1.15 billion) for potential fines arising from allegations of manipulation in the foreign exchange market. Its annual profits rose 12 percent, thanks to a sharp cut in costs.

"The additional foreign exchange provision is unwelcome, whilst other regulatory discussions which may lead to further fines lurk in the background," said Richard Hunter, head of equities at Hargreaves Lansdown Stockbrokers.

Glencore fell 2 percent after the miner and commodity trader took an impairment charge of $1.1 billion on lower commodity prices. It posted a 2 percent fall in 2014 core profit.

The blue-chip FTSE 100 index was down 8.23 points, or 0.1 percent, at 6,932.41 points by 1131 GMT, trading just below a new record high of 6,974.26 points set in the previous session.

The index had opened higher only to turn lower for the third straight session, with analysts saying the index would need to consolidate after breaking through to new record highs for the first time a week ago.

"The lack of conviction in the market is a bit of a worrying sign," said Fawad Razaqzada, technical analyst at Gain Capital (NYSE: GCAP - news) , adding that 6,900, the resistance level last month and in September 2014, was now a key support level.

"Unless the 6,900 support level is broken, this should just be a consolidation before we push on towards 7,000."

Shire rose 1.4 percent to 5,250 pence, with traders citing a Goldman Sachs (NYSE: GS-PB - news) note on the sector as helping the stock. Goldman raised its 12-month price target for the drugmaker to 6,400 pence from 5,600 pence.

"We increase our 2015-18 EPS (earnings per share) estimates by up to 7.5 percent to account for the recent acquisition of NPS Pharma," Goldman Sachs analysts said. "Shire remains one of our top EU pharma picks."

Tullow Oil (LSE: TLW.L - news) bounced back after falling 7.7 percent in the previous session on concerns that a boundary dispute between Ivory Coast and Ghana could delay a project off West Africa. Its shares were up 3.6 percent on Tuesday, helped by a rebound in crude oil prices.

(Editing by Jon Boyle)