what is a dead cat bounce 
a dead cat bounce is a temporary short lived recovery of asset prices from a prolonged decline or a bear market that is followed by the continuation of the downtrend frequently downtrends are interrupted by brief periods of recovery or small rallies during which prices temporarily rise the name dead cat bounce is based on the notion that even a dead cat will bounce if it falls far enough and fast enough it is an example of a sucker s rally investopedia laura porter