I'd rather believe the price of GOLD came to the low as of Friday, due to 3 reasons
#1 - October Options Expiration (some manipulation by MM's)
#2 - It was hard to harvest gold without getting loans, so they were over selling to get the operations going. (when this stops, they find selling gold for too low, the price of gold can reverse, and bounce to $900 in a week or two)
#3 - the government's newly printed money ($700 billion) has not been put into the market yet. When that is done, GOLD can see $1,000 by sometime next year.
Gold hitting $1,300 by summer of 2009 is what I am looking at.
I bought 500 OTM CALLs for GOLD for APRIL 09 & Jan 2010
Everybody is deleveraging, stock/commodity prices across the board will be cut at least 50%. Gold is just one of the last dominos to fall.
See you at $500/oz, then you can ride your inflation wave back up.