Gold price pulled back yesterday towards short-term support of $1,223-20. The multiple rejection at $1,240 resulted in this pull back. So far we consider it as a healthy pull back after a rally from $1,185. So far price remains inside the bullish channel.
Colored lines - bullish channel
Gold price is challenging the channel boundaries and horizontal support at $1,223-20. Breaking below this level will push Gold towards $1,215 which is the break out area. Breaking below support will decrease the chances of a rally towards $1,260. Resistance at $1,232 must be broken for bulls to regain control. I continue to favor the bullish scenario and see this pull back as buying opportunity for Gold.