For investors seeking momentum, First Trust United Kingdom AlphaDEX Fund (FKU Quick QuoteFKU - Free Report) is probably on radar now. The fund just hit a 52-week high and is up nearly 22.2% from its 52-week low price of $35.33/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.

FKU in Focus         

The fund follows the NASDAQ AlphaDEX United Kingdom Index, which is an enhanced index and employs the AlphaDEX stock selection methodology to pick stocks from the NASDAQ United Kingdom Index. The fund holds 74 stocks in total. Ocado Group Plc, Evraz Plc and Anglo-American Plc are the top three stocks of the fund. The product charges 80 bps in fees (see all European Equity ETFs here).

Why the Move?     

British large-cap stocks have been on a tear due to a weak pound and a flurry of mergers and acquisitions, overruling Brexit-related woes. Plus, an easy money policy and compelling valuation drove UK stocks and ETFs higher in recent trading, going by Reuters.   

More Gains Ahead? 

The fund has a Zacks ETF Rank #3 (Hold). It seems that the fund will perform decently in the near term given a positive weighted alpha of 18.40.

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