The spell will not return you to the exact location you were at; it returns you to the nearest graveyard.
If you manage to somehow leave the Peak and enter Kun-Lai Summit, your "saved" location data is lost, and you will have to find another way to return to where you were.
Monks use this to access their class quests, the daily versions of which grant an experience gain buff that lasts an hour.
Patch changes
Patch 5.1.0 (27-Nov-2012): Zen Pilgrimage, Zen Flight and Enveloping Mist now have new icons.