Investors seeking momentum may have iShares MSCI Indonesia ETF (EIDO Quick QuoteEIDO - Free Report) on the radar now. The fund recently hit a new 52-week high. Shares of EIDO are up approximately 23.3% from their 52-week low of $22.41/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.

EIDO in Focus

EIDO focuses on providing exposure to companies in the Indonesian equity market. The fund has key holdings in the Financials, Consumer Staples and Consumer Discretionary sectors, with a respective allocation of 36.0%, 15.1% and 12.9%. EIDO charges investors 63 basis points in fee per year. Its top holdings include Telekomunikasi Indonesia, Bank Central Asia and Bank Rakyat Indonesia (Persero), with almost 34% of the assets allocated to them (see all Asia-Pacific Emerging ETFs here).

Why the move?

Indonesian equities rallied as the country secured a rating upgrade by Fitch. Indonesia’s long-term, foreign currency-denominated debt was lifted by a level to BBB with a stable outlook. Fitch stated rising foreign currency reserves and strong economic fundamentals as reasons for the upgrade.

More Gains Ahead?

EIDO has a Zacks ETF Rank #2 (Buy) with a Medium risk outlook. Moreover, the fund has a weighted alpha of 17.8. So, there is a promising outlook ahead for those who want to ride this surging ETF a shade further.

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