Gold dipped in the line of expectation settled with a fall -1.16% at 29652 after data showed the US economy's growth rate was unchanged in the first quarter and first-time filings for jobless benefits last week fell slightly. Growing doubts that a EU summit would yield progress on tackling the region's debt crisis further weighed, as it weakened the euro and lifted the US dollar. Gold futures fell to the lowest levels of the day after official data confirmed that the US economy expanded at an annualized rate of 1.9% during Q1, in line with expectations. Gold investors will be closely watching US data in the Q2 for clues as to the likelihood of a fresh QE3, which could potentially hurt the dollar and support gold. Meanwhile, investors remained cautious ahead of a EU summit due to begin. Hopes that European leaders would make headway on dealing with the crisis dimmed after a German government official indicated that the summit would not result in any detailed decisions and warned against high expectations among investors ahead of the conclusion of the summit. Earlier in the week, German Chancellor reiterated her opposition to the idea of joint euro zone bonds. Although gold's appeal as a safe haven is boosted during times of economic uncertainty, the euro zone's debt crisis has done little to bolster appetite for gold in recent months. Now technically market is getting support at 29514 and below could see a test of 29375 levels, and resistance is now likely to be seen at 29907, a move above could see prices testing 30161.

Trading Ideas:

Gold trading range for the day is 29375-30161.

Gold traded lower after data showed the US economy's growth rate was unchanged in the first quarter.

German Chancellor Areiterated her opposition to the idea of joint euro zone bonds.

Imports could hit 300 tonnes in the second half, up from 250 tonnes in January to June