Almost time to start accumulating gold

With the dollar and equities on the rebound, capital has been gushing out of commodities. How did we manage to go from crisis to recovery in a matter of couple months? I suppose one could applaud the Fed for engineering such a quick recovery (TAF and whatnot), but shouldn't the natural course be: crisis --> RECESSION --> recovery? Perhaps the market over-panicked during the crisis stage, and any bit of optimism relative to Q1 2008 will be seen as a complete recovery: much like a big pendulum swing. I believe the Fed has exhausted itself during these massive pendulum swings, and has temporarily gone into neutral mode...hoping for the best. Over the next few months, I think the pendulum swings will slow down (i.e. markets will go sideways). As people re-evaluate economic fundamentals, which still point towards a deep recession, we should also see a consolidation in the gold market. A ranging market is something most gold bulls have been waiting for, and it will be the last opportunity to accumulate ounces and mining shares before three-digit gold becomes history.

Update on 5/29/08: I no longer think gold will trade to 850. Gold will most likely consolidate between 880 and 920 before resuming its next leg up. I should have loaded up on the day I wrote this post.