Bank stocks are improving from a technical perspective as market leadership extends beyond technology. The SPDR S&P Bank ETF (KBE) has a new technical catalyst on the price front, with its chart relative to the S&P 500 Index (SPX) turning a corner. Within the group, Citigroup (C) stands out with long-term bullish momentum and a recent breakout that supports further upside follow-through. KBE is breaking out of the triangle pattern with a bullish medium-term development in a long-term uptrend. This breakout is supported by positive momentum, with the weekly MACD showing a decisive rally. This increases the likelihood of upside follow-through over the coming weeks, generating a measured target of around $75. The breakout point and 50-day moving average (MA) provide initial support near $64. Long-term support is provided on a weekly cloud model. The relative environment for bank stocks is also improving. KBE’s ratio to SPX has broken out, reflecting the strength of relative momentum over the medium term, suggesting the bank could outperform SPX through the third quarter. In the long term, this ratio remains neutral, but recent improvements support a more constructive tactical outlook for the group. C’s chart has a long-term bullish setup. Long-term momentum remains positive, with the stock in a clear long-term uptrend above its rising 12-month moving average. The monthly MACD histogram is trending upwards and there is a bullish ‘pop’ in the stochastics that will support further upside in the coming months. This long-term context argues that the recent strength is not just a short-term rebound, but rather part of an ongoing trend. Last week, C broke out to a new 52-week high in an extension of a major uptrend. Medium-term momentum is positive and expanding, supporting upside follow-through in the coming weeks towards a measured target of approximately $153. Compared to SPX, C continues its upward trend above its 40-week moving average as a long-term outperformer. For short-term positions, use the previous resistance near $135 for risk management. Secondary support is near $123. KBE’s triangle breakout and increasing relative strength suggest that banks are starting to participate more meaningfully as leadership expands. C offers one of the cleanest technical setups in the group, with a fresh breakout and a positive relative strength trend. —Katie Stockton with Will Tamplin Get free access to Fairlead Strategies research here. Disclosure: None. All opinions expressed by CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, its parent or affiliates, and may have been previously disseminated on television, radio, the Internet, or another medium. 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