Water is miscible with many liquids, including ethanol in all proportions. Water and most oils are immiscible, usually forming layers according to increasing density from the top. This can be predicted by comparing the polarity. Water being a relatively polar compound will tend to be miscible with liquids of high polarity such as ethanol and acetone, whereas compounds with low polarity will tend to be immiscible and poorly soluble such as with hydrocarbons.
As a gas, water vapor is completely miscible with air. On the other hand, the maximum water vapor pressure that is thermodynamically stable with the liquid (or solid) at a given temperature is relatively low compared with total atmospheric pressure. For example, if the vapor's partial pressure is 2% of atmospheric pressure and the air is cooled from 25 °C, starting at about 22 °C, water will start to condense, defining the dew point, and creating fog or dew. The reverse process accounts for the fog burning off in the morning. If the humidity is increased at room temperature, for example, by running a hot shower or a bath, and the temperature stays about the same, the vapor soon reaches the pressure for phase change and then condenses out as minute water droplets, commonly referred to as steam.
A saturated gas or one with 100% relative humidity is when the vapor pressure of water in the air is at equilibrium with vapor pressure due to (liquid) water; water (or ice, if cool enough) will fail to lose mass through evaporation when exposed to saturated air. Because the amount of water vapor in the air is small, relative humidity, the ratio of the partial pressure due to the water vapor to the saturated partial vapor pressure, is much more useful. Vapor pressure above 100% relative humidity is called supersaturated and can occur if the air is rapidly cooled, for example, by rising suddenly in an updraft.