Concept:
Let the other end of the diameter through the fixed point \(A(p,q)\) be \(P(x,y)\).
Since \(A\) and \(P\) are the endpoints of a diameter, the center of the circle is the midpoint of \(AP\).
Also, the circle touches the X-axis. Therefore, the radius is equal to the perpendicular distance of the center from the X-axis.
The locus can be obtained by equating two expressions for the radius.
Step 1: Find the coordinates of the center of the circle.
Since \(A(p,q)\) and \(P(x,y)\) are endpoints of a diameter,
\[
\text{Center } C
=
\left(
\frac{x+p}{2},
\frac{y+q}{2}
\right)
\]
Because the circle touches the X-axis,
\[
R=\left|\frac{y+q}{2}\right|
\]
Hence
\[
R^2=\left(\frac{y+q}{2}\right)^2
\]
Step 2: Express the radius using the distance formula.
The radius is also equal to the distance from the center to point \(A(p,q)\).
Therefore,
\[
R^2
=
\left(\frac{x+p}{2}-p\right)^2
+
\left(\frac{y+q}{2}-q\right)^2
\]
\[
=
\left(\frac{x-p}{2}\right)^2
+
\left(\frac{y-q}{2}\right)^2
\]
Thus,
\[
R^2
=
\frac{(x-p)^2+(y-q)^2}{4}
\]
Step 3: Equate the two expressions for the radius.
\[
\left(\frac{y+q}{2}\right)^2
=
\frac{(x-p)^2+(y-q)^2}{4}
\]
Multiplying throughout by \(4\),
\[
(y+q)^2
=
(x-p)^2+(y-q)^2
\]
Expanding,
\[
y^2+2qy+q^2
=
(x-p)^2+y^2-2qy+q^2
\]
Cancelling common terms,
\[
2qy=(x-p)^2-2qy
\]
\[
(x-p)^2=4qy
\]
\[
\boxed{(x-p)^2=4qy}
\]