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Record highs become routine for big tech, as Nasdaq 100 hits yet another record high

Talk about keeping it 100.

The Nasdaq 100 index, which largely tracks large-cap tech stocks, rose to a new high on Thursday.

What's striking is just how un-unusual this now is. In fact, as of Thursday's close, the index has hit record highs in 9 of the past 11 sessions.

The Nasdaq 100 also has logged gains in 24 of the past 30 sessions, for an incredible 80 percent win rate.

"The market is suffering from an extreme case of 'FOMO' — this is a clear case of 'fear of missing out.' Everyone wants to be in, and nobody wants to miss out," Chantico Global CEO Gina Sanchez diagnosed Thursday on CNBC's "Trading Nation."

In other words, the string of positive sessions and the index's striking 21 percent gain this year have led more and more investors to jump in.

"People feel comfortable buying tech stocks, and ultimately that's what's leading this market higher," IITrader's chief market strategist, Bill Baruch, said Thursday on "Trading Nation." Investors "worry about selling out of good positions, so no one wants to sell, and people just keep buying higher."

Yet there's a downside to comfort that verges on complacency.

"Once the market does start to correct, you will see a big fear, and that's going to overexaggerate a move to the downside," Baruch added. He says he wouldn't be surprised to see a 10 percent drop that brings the Nasdaq 100 back to its late March lows.

Sanchez made a similar point, saying that with valuations at their highest levels since the dot-com bubble, "we could definitely see a retracement of where we've been."

The Nasdaq 100 is tracked by the PowerShares QQQ Trust, which is the largest tech-focused ETF by market value. Like the underlying Nasdaq 100, more than 40 percent of the QQQ is made up of five stocks – Apple, Microsoft, Amazon, Facebook and Alphabet.

Despite the strong start to Friday's session, the Nasdaq 100 turned sharply lower in midday trading.

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Trading Nation is a multimedia financial news program that shows investors and traders how to use the news of the day to their advantage. This is where experts from across the financial world – including macro strategists, technical analysts, stock-pickers, and traders who specialize in options, currencies, and fixed income – come together to find the best ways to capitalize on recent developments in the market. Trading Nation: Where headlines become opportunities.

Brian Sullivan

Brian Sullivan is co-anchor of CNBC's "Power Lunch" (M-F,1PM-3PM ET), one of the network's longest running programs, as well as the host of the daily investing program "Trading Nation." He is also a frequent guest on MSNBC's "Morning Joe" and other NBC properties.

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