A bear trap is a mechanical device designed to catch and hold animals, typically bears. It's commonly used in wildlife management, hunting, and research. The traditional bear trap features large, spring-loaded jaws with teeth that snap shut when triggered by pressure on a central plate. Modern bear traps are often designed to be more humane, focusing on capturing the animal without causing severe injury, allowing for safe relocation or study.In finance, a "bear trap" refers to a situation where the price of an asset appears to be declining, encouraging traders to sell short, only for the price to reverse and move higher, catching the bearish traders off guard.