Gold turned weaker on technical selling after the metal initially rose as a lower dollar and lingering worries about an European debt crisis helped recoup some lost ground from a two-month low last week. A dearth of safe-haven demand in recent weeks as concerns over euro zone sovereign debt and the U.S. economic outlook receded meant gold struggled to make fresh headway after hitting a record $1,430.95 an ounce in December. Now technically market is trading in the range as RSI for 18days is currently indicating 35.65, where as 50DMA is at 20504.24 and gold is trading below the same and getting support at 19942 and below could see a test of 19886 level, And resistance is now likely to be seen at 20096, a move above could see prices testing 20194.

Trading Ideas:

Gold trading range is 19886-20194.

Gold turned weaker on technical selling after the metal initially

Support for the gold is seen at 19940 and resistance at 20060 level.

Spdr gold trust holdings fell by 10.93 tonnes to 1260.84 tonnes.