For investors seeking momentum, WisdomTree Japan Hedged Equity Fund (DXJ Quick QuoteDXJ - Free Report) is probably on radar. The fund just hit a 52-week high and is up 22.7% from its 52-week low price of $57.14/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:

DXJ in Focus

WisdomTree Japan Hedged Equity Fund provides exposure to the Japanese equity stock market without the currency risk by tracking the WisdomTree Japan Hedged Equity Index. It charges 48 bps in annual fees. (see: all the Developed Asia Pacific ETFs here).

Why the Move?

The currency-hedged corner of the broad investing world has been an area to watch lately, given the strength of the U.S. dollar. A strong greenback eats away foreign investment gains when repatriated in U.S. dollar terms, pushing them into the red even when international stocks perform well. As such, the strength in the greenback is compelling investors to recycle their portfolios into currency-hedged ETFs.

More Gains Ahead?

Currently, DXJ has a Zacks ETF Rank #3 (Hold) with a Medium risk outlook. Therefore, it is hard to get a handle on its future returns one way or the other. However, many segments that make up this ETF have a strong Zacks Industry Rank. So, there is definitely some promise for those who want to ride this surging ETF a little further.