I am certain my attack upon the value of gold will spur many points of agreement and disagreement. That is the essence of how markets exist. In light of the economic events of the past year, the current environment is one in which gold should shine. The financial markets have imploded and interest rates have been cut to zero. As an inflation hedge and store of value, gold should skyrocket. Instead, we see a spike above $1,000 in March 2008 as Bear Stearns failed. From that point, the news grew worse, but gold set a series of lower highs -- $977 in July, $913 in October and $882 in December -- while maintaining a persistent downtrend. Lower highs within an existing downtrend are clearly bearish. Combine the bearish view with an uptrend from the October low and we see a triangle that should offer a dramatic move for the price of gold. Traditionally, one would wait for a triangle to result in the price spiking higher or lower before taking a position. I believe gold will break lower. Therefore, in my weekly newsletter EPIC Insights, I recommend a short position as this week's technical trade. If the triangle does break lower, we can expect to see gold trade toward $700 in the coming weeks. For individual investors, ETFs offer the easiest way to short gold. I have always used the iShares Comex Gold Trust ( IAU) as a proxy for gold. With the expectation that gold will retest $700, I recommend a short position in IAU as this week's technical trade. By using the 10-day moving average -- currently $865 -- as our stop-loss, we have a trade with very limited downside (1%) and tremendous upside (18%).