I have seen shad die off and they will often come up toward the surface and go in circles and make little tight wiggles and the slowly go back down. What kind of lure could you use to mimic this and would matching the hatch so to speak work in that situation?

I am working on one, but it is only on paper. So far it is a great idea, but needs plenty of work.

Banjo

You can simulate a dead/dieing shad with alot of baits, but I like a weightless senko/slugo/flukes, even dead sticking spoons is deadly.

A Scrounger

senko weightless

4" yum money minnow, unweighted hook

Lake Fork Tackle Live Swim-n Slug weightless. Catches em when nothin else will,

http://www.lftlures.com/categories/soft-plastics-lft-live-swim-n-slug-4/products/1104

suspending jerk bait

Super fluke all the way!!!! Just nose hookem so the biat hang loose and the action is increased 10 fold.

1/8 or 1/4oz arkey style jig with a 4" grub.

A white tube rigged weightless. It will spiral down real slow.

Suspending Jerkbait and Deadsticking a Superfluke

Another option is a jerk and pause retrieve or a yo-yo retrieve with a rattletrap. They also make a floating model that will work.

+1 May not circle just like a dying shad but action is close.