For investors seeking momentum, First Trust Nasdaq Semiconductor ETF (FTXL Quick QuoteFTXL - Free Report) is probably on radar now. The fund just hit a 52-week high and is up nearly 40% from its 52-week low price of $23.87/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:

FTXL in Focus

This fund offers exposure to the most-liquid U.S. semiconductor securities based on volatility, value and growth. Holding 30 stocks in its basket, it has diverse exposure across components, with each holding less than 9% of assets. It charges 0.60% in expense ratio (see: all the Technology ETFs here).

Why the Move?

The semiconductor segment of the broad technology market has been an area to watch lately given the wave of consolidation and the string of robust earnings. Robust demand for memory chips and other semiconductor products owing to the rapid adoption of cloud, Internet of Things, autonomous cars, gaming, wearables, VR headsets, drones, virtual reality devices, artificial intelligence, cryptocurrencies, and other advanced information technologies are fueling huge growth in the space.

More Gains Ahead?

FTXL has a Zacks ETF Rank #1 (Strong Buy), suggesting that the outperformance could continue in the months ahead. Further, many of the segments that make up this ETF have a strong Zacks Industry Rank, so there is definitely still some promise for those who want to ride on this surging ETF a little longer.

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