CGW - Water ETFs may be cooling off as they've hit overbought technical levels

ETFs that focus on water - the Invesco S&P Global Water Index ETF (NYSEARCA:CGW) and the Invesco Global Water ETF (NASDAQ:PIO), to name two - appear to be entering the overbought territory according to the relative strength index (RSI) indicator. In a traditional sense, when a security crosses the 70 handle of the RSI, it indicates to investors that the specific equity is overbought and can foreshadow a potential pullback. The CGW is sitting at the 77.92 marker on the RSI, and PIO is at 71.42. CGW invests in organizations involved with water utilities, infrastructure, equipment, instruments, and materials. It's comprised of 58 holdings and comes with an expense ratio of 0.57%. It's higher by 23.6% in 2021, including a 0.4% gain today. On the other hand, the PIO looks for companies that create products designed to conserve and purify water for homes, businesses, and industries. It has 52 holdings and an expense ratio

For further details see:

Water ETFs may be cooling off as they’ve hit overbought technical levels