Investors seeking momentum may have Silver Trust Ishares (SLV Quick QuoteSLV - Free Report) on radar now. The fund recently hit a new 52-week high. Shares of SLV are up approximately 147.7% from their 52-week low of $10.86/share.

But could there be more gains ahead for this ETF? Let’s take a look at the fund and the near-term outlook to get a better idea of where it might be headed.

SLV in Focus

The iShares Silver Trust seeks to reflect generally the performance of the price of silver. The fund charges 50 bps in fees.

Why the move?

Silver has been on a stellar ride with prices climbing to the highest level in nearly seven years. Increase in investment demand, pick-up in industrial activity due to factory reopening after lockdowns, and investors’ appetite for alternatives to the safe-haven asset gold (which is pretty pricey at the current level) led to the rally.

Unlike gold, silver has considerable presence in the industrial sector. About 50% of the metal’s total demand comes from industrial applications. So, the reopening of global economies is helping silver more than the yellow metal.

More Gains Ahead?

Currently, SLV has a Zacks ETF Rank #3 (Hold) with a High risk outlook. So, it is difficult to get a handle on its future returns one way or another. The fund has a positive weighted alpha of 101.50. So, there is a decent outlook ahead for those who want to ride this surging ETF a shade further.

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