For investors seeking momentum, WisdomTree Europe SmallCap Dividend Fund (DFE - Free Report) is probably on the radar now. The fund just hit a 52-week high of $65.38. Shares of DFE are up roughly 37.9% from their 52-week low price of $47.40/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: 

DFE in Focus

The fund looks to track the performance of the WisdomTree Europe SmallCap Dividend Index. The fund is heavy on the by U.K. (24.65%), followed by Sweden (14.48%) and Italy (13.40%). The fund charges 58 bps in total fees (see all European Equity ETFs here). 

Why the Move?

The GDP growth rate in the Euro zone economy was 0.5% in the first quarter of 2017. Investor sentiments are pretty strong about the bloc, helping European stocks outperform in recent sessions. Moreover, since small-cap stocks reflect more of a domestic economy, a pickup in the Euro zone economy has all the reasons to spell good for this ETF.

More Gains Ahead? 

The fund has a positive weighted alpha of 22.70. This positive weighted alpha indicates that there is definitely still some promise for investors who want to ride on this surging ETF.