For investors looking for momentum, Global X Copper Miners ETF (COPX Quick QuoteCOPX - Free Report)  is probably a suitable pick. The fund just hit a 52-week high and is up 214.7% from its 52-week low price of $13.27/share.

Let’s take a look at the fund and its near-term outlook to gain an insight into where it might be headed:

COPX in Focus

The fund seeks to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the Solactive Global Copper Miners Total Return Index. It has AUM of $924.6 million and charges 65 basis points (bps) in annual fees.

Why the Move?

Copper has recently risen to its highest level in nearly a decade on growing demand as global manufacturing levels are recovering. Moreover, it is expected that post the COVID-19 crisis, demand will outstrip near-term supply. The constrained supply conditions are expected to remain given that environmental policies are driving the use of copper along with increasing investments in renewable energy and electronic vehicles, which will need large volumes of the raw material. This is making funds like COPX an attractive investment option.

More Gains Ahead?

It seems like the fund will remain strong, with a positive weighted alpha of 182.56, which gives cues of further rally.

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