What is Dead Cat Bounce?

Dead cat bounce: A brief recovery in the price of a declining stock or bear market, followed by a resumed downtrend.

In finance, a dead cat bounce is a small, brief recovery in the price of a declining stock. Derived from the idea that “even a dead cat will bounce if it falls from a great height”, the phrase is also popularly applied to any case where a subject experiences a brief resurgence during or following a severe decline.