IGL, Gail, MGL: Trading strategies for CGD stocks post new gas tariff order

Indraprastha Gas stock is seeing a strong resistance at 490 levels on weekly charts. If it manages to breach this level decisively, then the upside may see a rally towards Rs 525 and Rs 555 levels

Natural gas
According to analysts at ICICI Securities, the unified tariffs will encourage gas transmission companies to set up new pipelines and will result in long term volume growth

Stocks of City Gas Distribution (CGD) firms were on a roll on Friday after sector regulator Petroleum and Natural Gas Regulatory Board (PNGRB) issued gazettes of CGD access code, CGD-CNG transportation rate and gas pipeline unified tariff regulations. PNGRB on Thursday simplified the country's gas pipeline tariff structure to make the fuel more affordable for distant users and to attract investment for building gas infrastructure. The regulatory board has notified regulations for a 'unified' tariff structure for over a dozen pipelines that form the National Gas Grid which ...