On CNBC's "Trading Nation," Quint Tatro of Joule Financial and JC O'Hara of MKM Partners spoke about the health care stocks. It seems that prospects of divided government are good for the sector as the health care stocks traded higher in the week after the election.

Tatro sees opportunities in the space, but he wouldn't chase the health care stocks. Two of his favorite names in the sector are Pfizer Inc. (NYSE:PFE) and Merck & Co., Inc. (NYSE:MRK). They have a better balance sheet than most but are still highly levered. He thinks they're a good addition for a portfolio, but he wouldn't chase them.

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Some of the most important breakouts in the sector came from the managed care stocks, like UnitedHealth Group Inc (NYSE:UNH), Cigna Corp (NYSE:CI) and Anthem Inc (NYSE:ANTM), said O'Hara. He bought Anthem on Thurdsay.

He explained that the stock might be stretched in the short term, but it's breaking out above the resistance, which speaks for further upside. O'Hara sees at least 20% of upside for Anthem and he has a technical target of $400 for the stock.