My luck with HDR with cyberpunk is really spotty. Trying both options just mutes the colors completely for me and I feel like it honestly looks better in SDR. Have I done something wrong settings wise or does it just look like that?

I’ve heard not great. Even on low with a lot of FSR it struggles to remain a consistent 30, with very consistent dips below. Maybe it’ll be improved as the game receives more patches, but the fact it’s on Epic and not Steam makes me doubtful of intentional deck support. Here’s a guide on getting it running though if you’re really into the idea of playing it on deck https://steamdeckhq.com/tips-and-guides/alan-wake-2-on-steam-deck/