Hello, you have come here looking for the meaning of the word dead cat bounce. In DICTIOUS you will not only get to know all the dictionary meanings for the word dead cat bounce, but we will also tell you about its etymology, its characteristics and you will know how to say dead cat bounce in singular and plural. Everything you need to know about the word dead cat bounce you have here. The definition of the word dead cat bounce will help you to be more precise and correct when speaking or writing your texts. Knowing the definition ofdead cat bounce, as well as those of other words, enriches your vocabulary and provides you with more and better linguistic resources.
1988, Sarah Graves [pseudonym; Mary Squibb], The Dead Cat Bounce (Home Repair is Homicide Series; 1), New York, N.Y.: Bantam Books, →ISBN:
Now, if you look at the chart of a stock that has suffered a collapse, you will see that at the bottom of each drop there is a small uptick, a rise in the price. This uptick, representing the smart money getting out because it knows what is coming, and fools getting in because they don't, is known as the dead cat bounce, so-called because if you drop a dead cat off a skyscraper the cat will bounce, too, but the movement doesn't mean the cat is alive.
There's this thing called the Dead Cat Bounce. It's a stock market term, I believe. What it's talking about is the fact that even a stock that is essentially worthless and really going nowhere but down for ever can register a slight upward movement, just for a bit, because there is generally a floor for almost everything. The comparison rests on the fact that even when a cat hits the pavement from forty stories high and dies instantly, it'll still bounce back up a little.
2013, Thomas N. Bulkowski, “Swinging Tools and Setups”, in Swing and Day Trading: Evolution of a Trader, Hoboken, N.J.: John Wiley & Sons, →ISBN, page 163:
Avoid taking a position in stocks that show dead-cat bounces. Those stocks see their price drop at least 15 percent in one session. A stock showing a dead-cat bounce tends to bounce higher and then decline, sometimes suffering additional dead-cat bounces three and six months later (if earnings related[…]).
dead cat bounce on Wikipedia.Wikipedia 