Data and research shows reaching a new high doesn’t mean the market will then retreat — more often than not, returns 1, 3, and 5 years after new highs are pretty similar to all other months.

Investors commonly believe that market highs are often followed by drops. What does the evidence from past highs actually show?

Can investors consistently time the market? Will you be able to tell when to buy or sell? In this video, Jim Davis from Dimensional Fund Advisors runs more than 780 tests on data from 15 stock markets to see what the evidence says.