Where exactly is data stored on a hard drive after it is deleted from the recycle bin. Which location on the hard drive does it occupy?

There isn't a specific location.
To fully understand you need to know about file deletion.
Basically what happens when you empty the recycle bin the space is marked as available and the first character of the file name is changed.
The data doesn't physically move anywhere.
The file system allocates the needed space on the fly.

Hello pash:

It's stored in little packets all over your hard drive, and the data can still be recovered. If you want to erase it permanently, run your defrag program, or use a utility that wipes your hard drive.

excon