From AMS Glossary
(Also called lid.) A region of negative buoyancy below an existing level of free convection (LFC) where energy must be supplied to the parcel to maintain its ascent.
This tends to inhibit the development of convection until some physical mechanism can lift a parcel to its LFC. The intensity of the cap is measured by its convective inhibition. The term capping inversion is sometimes used, but an inversion is not necessary for the conditions producing convective inhibition to exist.