OHH!  Magellan!  That might be the problem!  (Just kidding!  I'm a Garmin person!)
It's not an exact science at all!  The closer you get, the more the GPSr will jump around.  I get close, (within 20 feet or so), then stop looking at the GPSr and start looking for hiding spots.  You'll get the hang of it after a few caches!
Happy Hunting!