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Gartman: "If Gold Slides to This Dollar Amount, I'm a Buyer"

John Paulson made a mint in the gold trade last year. According to a Wall Street Journal report the hedge fund manager --made famous for betting against the housing market before the crash -- personally collected $5 billion last year with his bullish bets on gold among the major forces driving those gains.

But with gold closing Thursday at its lowest levels since October, is the shine off this precious metal? That’s the question Fast Money traders have been asking.

Commodities king Dennis Gartman doesn't think so. Forget Paulson’s record setting 2010 profits – or this year’s subsequent gold sell-off – according to Gartman, neither are a sign of a top.

In fact, he was planning to add to his gold position on Friday on the pull back, particularly if gold dropped below the key $1,300-an-ounce level. "If we get down to $1,299 an ounce – I think you should own gold in dollar terms,” said Gartman, author of the renowned Gartman Letter.

And in a live interview on the Halftime Report, Gartman added that with growing unrest in the Middle East, $1299 may never happen. "We might have seen an important low at $1311," he admitted. "It's entirely possibly that it's not going to drop any further," he said.

If you're a Fast fan you know that Gartman prefers buying gold in other currencies. “I think you should still own gold in euro terms, in sterling terms, in yen terms," he said.

Fast fans also know that on Thursday's show Brian Kelly told the desk something similar to what Gartman said above; he too thought it was time to pull the trigger.

However trader Stephen Weiss held the opposite view; he was quite bearish saying that momentum was to the downside. (Click here to go toMarket Pros: Is Gold a Bargain or Falling Knife?)

A small hedge fund run by Daniel Shak is also among the bears. They liquidated his gold spread position on Monday, leading to the biggest plunge in the CME Group’s Comex gold contracts on record, according to a Wall Street Journal.

It's worth noting, however, that Shak's fund position was highly leveraged, according to the Journal story, which can compound losses from a correction.



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Trader disclosure: On Jan. 28, 2011, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Steve Grasso owns (ASTM), (BA), (BAC), (BWC), (C), (CSCO), (JPM), (LIT), (LPX), (MHY), (NDAQ), (PFE), (PRST) and (S). Pete Najarian owns (F) calls and bonds. Pete Najarian owns (V) call spreads. Pete Najarian owns (YHOO) and (YHOO) calls. Pete Najarian owns (VZ) calls. Pete Najarian owns (MS). Pete Najarian owns (JPM) call spreads. Pete Najarian owns (C). Pete Najarian owns (BAC) call spreads. Pete Najarian owns (GE). Pete Najarian owns (FRO). Pete Najarian owns (TCK).

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BRIAN KELLY
Accounts Managed By Kanundrum Capital Own (IAU)
Accounts Managed By Kanundrum Capital Own (SLV)
Accounts Managed By Kanundrum Capital Own (MON)
Accounts Managed By Kanundrum Capital Own (ATW)
Accounts Managed By Kanundrum Capital Own (DBA)
Accounts Managed By Kanundrum Capital Own (JJG)
Accounts Managed By Kanundrum Capital Own (YEN)
Accounts Managed By Kanundrum Capital Own (TBT)
Accounts Managed By Kanundrum Capital Own (VXX)
Accounts Managed By Kanundrum Capital Own VIX calls
Accounts Managed By Kanundrum Capital Own (YGE)
Accounts Managed By Kanundrum Capital Own (GMCR) puts
Accounts Managed By Kanundrum Capital Are Short Australian Dollar

STEVE GRASSO
Stuart Frankel & Co and its partners own (AAPL)
Stuart Frankel & Co and its partners own (ABX)
Stuart Frankel & Co and its partners own (CSCO)
Stuart Frankel & Co and its partners own (CUBA)
Stuart Frankel & Co and its partners own (GERN)
Stuart Frankel & Co and its partners own (HSPO)
Stuart Frankel & Co and its partners own (NEM)
Stuart Frankel & Co and its partners own (NWS.A)
Stuart Frankel & Co and its partners own (NYX)
Stuart Frankel & Co and its partners own (PDE)
Stuart Frankel & Co and its partners own (PFE)
Stuart Frankel & Co and its partners own (PRST)
Stuart Frankel & Co and its partners own (RDC)
Stuart Frankel & Co and its partners own (S)
Stuart Frankel & Co and its partners own (SDS)
Stuart Frankel & Co and its partners own (UAL)
Stuart Frankel & Co and its partners own (XRX)
Stuart Frankel & Co and its partners own (SDS)
Stuart Frankel & Co and its partners are short (QQQQ)
Stuart Frankel & Co and its partners are short (AAPL)

JARED LEVY
Accounts Managed by Jared Levy own (AAPL) put spreads
Accounts Managed by Jared Levy own (FCX) put spreads
Accounts Managed by Jared Levy own (GLD) call spreads
Accounts Managed by Jared Levy own (GS) put spreads
Accounts Managed by Jared Levy own (MOS) put spreads
Accounts Managed by Jared Levy own (MOS) call spreads
Accounts Managed by Jared Levy own (NFLX) call spreads
Accounts Managed by Jared Levy own (NFLX) put spreads
Accounts Managed by Jared Levy own (NOK) puts
Accounts Managed by Jared Levy own (NOK) calls
Accounts Managed by Jared Levy own (SBUX) put spreads
Accounts Managed by Jared Levy own (SINA) call spreads
Accounts Managed by Jared Levy own (SLV) put spreads
Accounts Managed by Jared Levy own (SPX) call spreads

DENNIS GARTMAN
Funds Managed by Dennis Gartman Are Long Gold
Funds Managed by Dennis Gartman Are Short Sterling
Funds Managed by Dennis Gartman Are Short Yen
Funds Managed by Dennis Gartman Are Short Euro
Funds Managed by Dennis Gartman Are Long Corn
Funds Managed by Dennis Gartman Are Long Aussie Dollars
Funds Managed by Dennis Gartman Are Long Nat Gas
Funds Managed by Dennis Gartman Are Long Swiss Franc

ANTHONY SCARAMUCCI
Scaramucci has no disclosures

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