Breakout: These stocks may be ready to run

Traders work on the floor of the New York Stock Exchange.
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Big financials have been perking up lately and may be ready for an even greater run higher.

The financial sector was the top-performing major S&P category last week, up 1.6 percent. While the stocks are flattish Monday, traders see more interest in the group as a whole. For May so far, the group is up 2.5 percent, though they are basically flat for the year.

"It's a kind of rotation. Banks have been underperforming the market for so long, and their earnings continue to rise. All of a sudden, the valuations on the stocks are very, very low relative to other stocks in the market," said Richard Bove, bank analyst at Rafferty Capital.