Yeah, I actually figured as much when I saw you continually upB early, but I never see top DDDs do that, so I'm guessing that it's better to just try to use your jumps to recover if you can. I see why you spot-dodge the end of 'nado, but it seriously kept you from punishing a ton of 'nados that you actually could have caught up with. If you're on your toes and zip in on him as soon as he retreats, you can grab him. Waddles probably also work. Even if you don't necessarily get anything, you're in a position of pressure. I've seen some DDDs land smashes as punishment for bad 'nados. If you're afraid of being poked by 'nados that MKs finish completely on your shield, angle your shield (you seemed to be doing this already) and don't find yourself in a position where you will be easily 'nado'd, at least not when your shield is small. Yes, walking against MK is crucial. Committing to something as limiting as a run is really bad against a fast char with as many defensive and offensive options as MK. Also, you may want to learn how to consistently PS > grab Tornado. It honestly seemed like you lost to Mach Tornado and not even MK that match, which makes sense. Tornado:DDD is, like, a 6-4 MU.

Every time I see top DDDs do that MU, they're constantly trying to maintain an optimal defensive distance where MK's offensive options, including 'nado', won't destroy them instantly.