For investors seeking momentum, Roundhill Magnificent Seven ETF (MAGS Quick QuoteMAGS - Free Report) is probably on the radar. The fund just hit a 52-week high and is up about 81.2% from its 52-week low price of $32.03/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:

MAGS ETF in Focus

The Roundhill Magnificent Seven ETF pursues its investment objective of capital appreciation by seeking exposure to between five and ten companies in the Technology Hardware Industry; E-Commerce Discretionary Industry; Internet Media & Services Industry and Software Industry. The ETF charges investors 29 basis point a year in fees (see: all Technology ETFs here).

Why the Move?

Four of the 'Mag Seven' stocks – Alphabet (GOOGL Quick QuoteGOOGL - Free Report) , (GOOG Quick QuoteGOOG - Free Report) , Tesla (TSLA Quick QuoteTSLA - Free Report) , Amazon (AMZN Quick QuoteAMZN - Free Report) , Apple (AAPL Quick QuoteAAPL - Free Report) – hit a record close on Monday afternoon. Investors are eagerly awaiting the Federal Reserve's final policy meeting of the year, which begins today. Markets widely anticipate a 25-basis point rate cut on Wednesday, with 97% of traders pricing it in.

As tech stocks perform better in a low-rate environment, the MAGS ETF hit a high lately. Moreover, the artificial intelligence (AI) boom is in fine fettle to carry forward the Mag-7 rally.

More Gains Ahead?

The ETF MAGS might continue its strong performance in the near term, with a positive weighted alpha of 77.04, which gives cues of a further rally.