A dead cat bounce can affect any stock. Even popular growth stocks, such as Amazon, have shown the ability to have a dead cat bounce. However, if an industry or sector is more prone to a dead cat bounce it can become more risky for investors. Volatility would be one indicator of an industry likely to experience dead cat bounces. In general, a stock that is prone to aggressive growth, such as biotech, is typically more prone to dead cat bounces. Utility stocks, by contrast, are less likely to experience a dead cat bounce. The other side of that coin, however, is that utility stocks are not known for their high growth. Dead cat bounces are also common with commodities such as crude oil which has been known to have brief “correction” periods even when the overall trend is bearish.