Hi rpa, kind of.... opinion is divided on this even amongst the locals.
The whole area was a mix of mines and iron workings. I thought it may have been like the neighbouring Fiery Holes pub, which was named after either the actual iron furnaces or, so I believe, from the smoke that bellowed from the shafts when there was a fire underground which seemed to be even more common there than other places.
The Pools were formed by 1900 (one by the 1880s), and I know they were called the Rocket Pools in the 1930s.
When I asked the locals about the name I got two other possibilities - showing that the truth is perhaps lost now. The first was that it was the name of one shaft or the engine that powered it. I found no proof of this. The other was that it came from the Rocket plant that grew around the pools. I assume it was a wild plant, as the name Rocket seems to be given to several plants, but there were allotment gardens next to the pool back in 1900. The estate is 1960s, so all traces of the plant may have been removed when the pools were landscaped then.
I hope this was interesting if not conclusive!