For investors seeking momentum, Xtrackers MSCI Japan Hedged Equity ETF (DBJP Quick QuoteDBJP - Free Report) is probably on radar. The fund just hit a 52-week high and is up 20.9% from its 52-week low price of $43.99/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 of where it might be headed:

DBJP in Focus

The underlying MSCI Japan US Dollar Hedged Index provides exposure to Japanese equity markets, while at the same time mitigating exposure to fluctuations between the value of the U.S. dollar and Japanese yen. The product charges 45 bps in annual fees.

Why the Move?

Japan's Nikkei index hit a three-month high lately due to strong earnings and upbeat corporate outlook.  Meanwhile, upbeat U.S. economic indicators sparked speculation that the Fed might become aggressive with rate hikes. This, in turn, might result in stronger greenback and favor currency-hedged international equity investing.

More Gains Ahead?

Currently, DBJP has a Zacks Rank #3 (Hold). The fund might remain strong given a positive weighted alpha of 17.80.

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