How Can You Tell If A Dead Cat Is Bouncing?
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Manushree Mishra
As mentioned in its meaning that a dead cat bounce can be seen as a temporary rise in prices of shares which is usually followed by a decline in prices. If this is to be describe analytically then a dead cat bounce is a continuation pattern that looks like a reversal pattern in the beginning. It begins with a downward move followed by a significant price retracement. The price fails to continue upward and instead falls again downwards, and surpasses the prior low.