State Street SPDR S&P Oil & Gas Exploration & Production ETF (XOP Quick QuoteXOP - Free Report) is probably on the radar for investors seeking momentum. The fund just hit a 52-week high and has moved up 67.43% from its 52-week low price of $99.01 per share.

Are more gains in store for this ETF? Let us 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.

XOP in Focus

The underlying S&P Oil & Gas Exploration & Production Select Industry Index represents the oil and gas exploration and production sub-industry portion of the S&P Total Markets Index. The product charges 0.35% in annual fees (see: all Energy ETFs).

Why the Move?

The energy sector has been an area to watch, given the rise in oil prices driven by the ongoing conflict in the Middle East. The closure of the Strait of Hormuz and concerns around supply disruptions have increased oil prices. Prolonged tensions in the Middle East could lead to increased volatility surrounding supply and a further surge in oil prices.

More Gains Ahead?

Currently, XOP has a Zacks ETF Rank #4 (Sell) and a High risk outlook. However, it might continue its strong performance in the near term, with a positive weighted alpha of 44.08 (as per Barchart.com), which gives cues of a further rally.