Gold rose with investors chasing the precious metal as the euro weakened against the dollar on concerns over euro zone debt and Ireland's bailout package. Tensions on the Korean peninsula following Seoul's plan to go ahead with live firing drills from a disputed island near the disputed northern border offered additional support. European debt worries kept gold prices in positive territory after Credit-rating agency Moody's downgraded Ireland to a Baa1 rating from Aa2. Now support for the gold MCX is seen at 20548 and below could see a test of 20489. Resistance is now likely to be seen at 20653, a move above could see prices testing 20699.

Trading Ideas:

Gold trading range is 20489-20699.

Gold rose as the euro weakened against the dollar on concerns over euro zone debt

Gold looks to take support at 20545 and resistance at 20650.

Gold holdings in ETF of Zurich Cantonal Bank edged 0.5% higher to 6.02 million ounces