For investors seeking momentum, Columbia India Consumer ETF (INCO Quick QuoteINCO - Free Report) is probably on the radar. The fund just hit a 52-week high and is up 26.92% from its 52-week low price of $43.16/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:

INCO in Focus

The underlying Indxx India Consumer Index is a maximum 30-stock free-float adjusted market capitalization-weighted index designed to measure the market performance of companies in the consumer industry in India. The fund has an exposure of 57.37% and 42.63% to the consumer discretionary and consumer staples sector, respectively. The product charges 75 bps in annual fees (see: all Emerging Asia-Pacific ETFs).

Why the Move?

The ongoing festive season in India has resulted in sales of retail and e-commerce companies surging. Robust rural consumer spending, fueling 9% growth in the consumer goods sector in the third quarter is a key tailwind for the fund. An optimistic outlook on India’s economy from consumers has resulted in improving consumer sentiment as per the country’s central bank’s consumer sentiment index.

IMF recently raised its GDP growth forecast for the country, which is also a positive for the fund.

More Gains Ahead?

Currently, INCO has a Zacks ETF Rank #3 (Hold) with a High risk outlook. However, it might continue its strong performance in the near term, with a positive weighted alpha of 9.2, which gives cues of a further rally.