Conversely, physical demand will remain supportive

of gold in the $900 area, while the market

is primed for a major bout of short-covering if

gold rallies back toward $920.

So we live in interesting times, as usual. But

the key, as I continue to caution, is to ignore the

short-term view, and look further down the road.

When you do, you see that the great economic

vista ahead of us has a certain golden hue to it.

All this begs the question, what to do now?

Buyers are still on strike in the junior resource

market (with gold at $900 -- who could’ve imagined?),

and share prices are in the dumpster. The

market abounds with uncertainty, and there is no

excitement to be seen anywhere.

To me, this sounds like a great time to buy.

Now, I wouldn’t do anything aggressively in

this environment because, while we can hope to

identify value, we will never pick the absolute

bottom. So my advice is to continue accumulating

our recommended companies on dips, pecking

away here and there to boost your positions.