Yet my take is, you have to buy it when it goes under $900. More specifically, two great trades have been to buy Agnico-Eagle (AEM) below $48 and Randgold (GOLD) below $55 -- both are wild traders, so these limits aren't nuts.

Why those two? Agnico's about to have a dramatic decline in finding cost after a huge capital expenditure program. Randgold's got the cheapest properties in Africa, and after interviewing the CEO, I am confident that the safety of those properties -- as bizarre and counterintuitive as it seems in Africa -- creates a discount that is unwarranted.

I know that I have been recommending SPDR Gold (GLD) below $90, but my enthusiasm for that 1-for-1 security has waned vs. the stocks here, because both have long-lived properties and superior managements. The usual caveats (which I now like to put in many pieces because of the vehement objections to virtually everything I write): I do not expect gold to bottom right at $890 -- I like to leave room, and I know that gold stocks have been historic poor performers vs. the bullion, but in these two cases the opportunities are just too great. AEM in particular could be a winner, as it has now pledged to begin returning dividends of size to shareholders with the completion of its mammoth expenditures.