Investors looking to get into the energy space should look no further than natural gas, trader Roberto Friedlander told CNBC on Tuesday.
President Donald Trump took aim at regulations in the energy sector on Tuesday, signing an executive order to roll back Obama-era climate policies.
That includes an overhaul of the Clean Power Plan, a set of federal guidelines that gives states a framework for reducing carbon dioxide emissions from fossil fuel-fired electricity plants.
Friedlander, head of energy trading at Seaport Global Securities, told "Power Lunch" he likes natural gas because "demand is here and it's going to be here to stay." He said liquefied petroleum gas and liquefied natural gas are the natural replacement for coal, diesel and other fuels.
He specifically likes Range Resources, which he said has some of the best acreage in the country and a solid management team.
Friedlander also likes energy infrastructure company Williams Partners, which he thinks will benefit from the recent executive orders to expedite the build out of the TransCanada and Dakota Access pipelines, and refiner Tesoro.
However, just because Trump is pledging to revive coal industry, Friedlander wouldn't buy coal stocks.
That's because the biggest problem for coal isn't the Environmental Protection Agency, he pointed out.
"The damage from the last eight years … is far-reaching and can't be overturned at this point," Friedlander said, noting that the average coal plant is 50 years in the making.
That can't turn around in four years, especially with nat gas so cheap, he noted.
And despite the fact that the administration is favorable to drilling, he'd also stay away from offshore drillers because he said they'd have to see at least $60 a barrel oil to break even.
— CNBC's Tom DiChristopher and Jackie O'Sullivan contributed to this report.