For investors seeking momentum, Teucrium Sugar Fund (CANE Quick QuoteCANE - Free Report) is probably on radar. The fund just hit a 52-week high and is up about 72% from its 52-week low price of $8.56/share.

But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:

CANE in Focus

The ICE No. 11 Sugar Futures Contract looks to reflect the daily changes of a weighted average of the closing prices for 3 futures contracts for sugar that are traded on ICE Futures US. The expense ratio of the fund is 1.00% (see all agricultural ETFs here).

Why the Move?

The sugar segment of the broad commodity ETF investing world has been an area to watch lately, given the rise in price for the commodity. Sugar prices surged to an 11-year high on tight global supply conditions.

India is the world’s second largest sugar producer after Brazil. Hence, prices have been driven up by inclement weather in India, a poor European beat crop, summer drought conditions as well as OPEC+’s oil output cuts, as quoted on CNBC.

More Gains Ahead?

Currently, CANE might remain strong given a positive weighted alpha of 67.60. As a result, there is definitely still some promise for investors, who want to ride on this surging ETF.