Gold bounced nicely after falling as low as $1186 on Friday but is losing momentum after touching $1267 in Asia.
Technically, gold stalled out at the June 21 low, which is now acting as resistance. The broad US dollar strength in the past hour is continuing to pressure gold but buyers are stepping in ahead of $1250.
I think the gold market is vulnerable to a quick move back to $1200. Many bulls are still hanging in there but some will be scrambling for the exits once it looks like this bounce is dead.
