The most overbought stocks in the financial sector presents an opportunity to go short on these overvalued companies.

The RSI is a momentum indicator, which compares a stock's strength on days when prices go up to its strength on days when prices go down. When compared to a stock's price action, it can give traders a better sense of how a stock may perform in the short term. An asset is typically considered overbought when the RSI is above 70.

Here’s the latest list of major overbought players in this sector.

Nu Holdings Ltd. (NYSE:NU)

• Nu Holdings reported better-than-expected first-quarter sales results. “Nu continues to build on its growth and profitability trajectory, posting a net income of $142 million. Revenue has nearly doubled year over year, reaching $1.6 billion,” said David Vélez, founder and CEO of Nubank. The company’s stock has a 52-week high of $7.09 .
• RSI Value: 78.90
• NU Price Action: Shares of Nu Holdings rose 2.1% to close at $6.97 on Friday.

Synchrony Financial (NYSE:SYF)

• Citigroup recently maintained Synchrony Finl with a Buy and lowered the price target from $44 to $43. The company’s stock has a 52-week high of $40.88.
• RSI Value: 72.56
• SYF Price Action: Shares of Synchrony Financial rose 4.7% to close at $33.04 on Friday.

Greenhill & Co., Inc. (NYSE:GHL)

• Mizuho announced it would acquire Greenhill for $15 per share. The company has a 52-week high of $14.85.
• RSI Value: 71.46
• GHL Price Action: Shares of Greenhill & Co rose 0.2% to close at $14.53 on Friday.

SoFi Technologies, Inc. (NASDAQ:SOFI)

• SoFi Technologies reported better-than-expected first-quarter financial results and raised 2023 revenue expectations. The company’s 52-week high is $8.52.
• RSI Value: 70.33
• SOFI Price Action: Shares of SoFi Technologies rose 3.1% to close at $7.03 on Friday.

AvidXchange Holdings, Inc. (NASDAQ:AVDX)

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