For investors looking for momentum, iShares MSCI Taiwan Capped ETF (EWT Quick QuoteEWT - Free Report) is probably on radar now. The fund just hit a 52 week high, and shares of EWT are up roughly 38.7% from their 52 week low price of $26.38/share.

But could more gains be ahead for this ETF? Let’s take a quick look at the fund and the near term outlook to get a better idea on where it might be headed:

EWT in Focus

EWT focuses on the Taiwanese equity market. This ETF invests its assets in 92 securities. However, with over one-fifth of the total exposure being on a single company, Taiwan Semiconductor, EWT has significant concentration risk.

Hon Hai takes up the second position in the portfolio with 10.11% share. However, the rest of the stocks do not occupy more than 2.78% of the fund. Sector-wise, EWT relies heavily on information technology (57.8%), financials (16.8%) and materials (9.4%). The fund has an expense ratio of 64 basis points (see all Asia-Pacific (Developed) ETFs here).

Why the Move?

Overall business optimism in Asia remains quite upbeat. This accompanied with an increase in tech shares, created a great situation for the fund. Bullishness on the fundamentals of Taiwan Semiconductor and Hon Hai Precision Industry in fact sent Taiwan shares to a 27-year high.

More Gains Ahead?

Currently, EWT carries a Zacks ETF Rank #2 (Buy), which creates a bullish case scenario. Plus, the fund has apositive weighted alpha of 29.40. A positive weighted alpha hints at more gains. As a result, there is definitely still some promise for investors who want to ride on this surging ETF.

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