Gold gained Friday as investors sought a safe haven after anemic U.S. growth data raised the specter that a potential recession could spur the Federal Reserve to loosen monetary policy. Gold rallied after U.S. Commerce Department data showed the economy stumbled in the first half of 2011 and came close to contracting in the first quarter. Some investors worried about the risk of a recession that could make the Fed more accommodative, feeding inflation and boosting gold prices. But some investors worried that the U.S. economy could enter a recession severe enough to depress prices in a round of deflation. This could push gold prices down sharply. This fed volatility in gold prices. In South Africa, talks were to resume on Monday between gold mine workers and the major producers aimed at ending a strike. Above-ground stocks would lessen the effect of labor-related supply outages. Now technically market is trading in the range as RSI for 18days is currently indicating 61.84, where as 50DMA is at 22868.94 and gold is trading above the same and getting support at 23494 and below could see a test of 23467 level, And resistance is now likely to be seen at 23556, a move above could see prices testing 23591.

Trading Ideas:

Gold trading range is 23467-23591.

Gold rallied after U.S. Commerce Department data showed the economy stumbled in the first half of 2011

Leaders of both parties have reached an agreement- Will cut 1 Trillion in spending over next 10 year

Spdr gold trust holdings gained by 0.61 tonnes to 1263.58 tonnes.