Rei, I see you are busy pulling up "old threads" this morning...and I like this one.
Some of my favorites have been given mention: Spirit's fourth, Traffic's first, Donovan's Gift and Hurdy Gurdy Man, The Who Sell Out (still my favorite Who album), JA's - well any of them, that's all they went for with Grace, Vanilla Fudge, and Hendrix's first three (Axis: Bold As Love is my favorite of those), Byrd's Notorious, Procol Harum (one of the Best first albums ever), and the Zombies Odessey and Oracle.
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Add to my list:
Spirit - Clear
Fat Mattress - Magic Forest Anthology, so as to get All of their stuff
Steve Miller Band - Children of the Future (especially side one)
Steve Miller Band - SailorSteve Miller Band - Brave New World
Steve Miller Band - Your Saving Grace
Steve Miller Band - Number 5
Steve Miller Band - Recall the Beginning...Journey From Eden
Steve Miller Band - I'm running out of colors...let's just say he continued to create some of the Best Psych for years to come.
Quicksilver - Shady Grove
Vanilla Fudge - Rock and Roll, they called it that, but couldn't get away from the psych sound.
Hollies - Butterfly/or US AKA Dear Eloise/King Midas in Reverse
If I walked over to my music closet could come up with even more from the Fabulous 60/70's, some of Terry Reid's and The Bee Gees' stuff comes to mind, but let me add a few from more modern times:
The Dukes of Stratosphear - 25 o'Clock
The Dukes of Stratosphear - Psonic Psunspot
Iron and Wine - The Shepherd's Dog