The state in which a person attempting to change genders has some characteristics of the gender they're trying to emulate, but isn't convincing, and therefore is a bit unsettling to look at. Compare to uncanny valley for robots.
Bruce wants everyone to call him Caitlin, but hasn't started hormones so they're still in the Untranny Valley, so it's hard for me to think of them as a "she" when I look at them.
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