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Last week, I wrote about defense stock Raytheon Technologies (RTX) as one to keep on your radar with recent military tensions in Iran and Israel escalating over the past few weeks.

The markets reacted a few days later, and RTX jumped to a new all-time high on Monday – closing at $146.46.

Now more war news is coming out.

On Wednesday, President Donald Trump announced he was weighing whether to launch a military strike against Iran.

Trump also proposed the Golden Dome, a $500 billion project that is expected to create a layered missile defense architecture covering the continental US to intercept missile systems.

Plus, the Pentagon is expected to request a 18% increase in funding for FY26, which would equal roughly $205 billion more.

None of this has been pleasant to read about in the news every day.

But my only job is to make the best out of it for you as a trader.

The truth is…

There’s no need to force any trades that could be volatile due to uncertainty in the Middle East.

However, but there’s one short-term play that I’ve been taking consistent winners on.

That play is DFEN.

DFEN stands for “Direxion Daily Aerospace & Defense.” It offers 3x daily leveraged exposure to the aerospace & defense sector. It also benefits from global military spending trends and potential large-scale U.S. defense projects.

Overall, this DFEN ETF is an ideal choice if you’re bullish on the defense section of the market.

As you’ll see in the chart above, DFEN has been on a steady climb since April. It’s up 71% over the last 6 months.

And with ongoing conflicts between Russia & Ukraine, India and Pakistan, and China and Taiwan, this ETF could continue to have leverage.

Action Plan: I’ve already closed multiple winners on DFEN in The War Room this week, and it should remain in play as war news continues to hit the wires.

If you want to see how The War Room works, Karim and I have a special event going on starting next week.

We’re giving readers like you a chance to experience The War Room for FREE for an entire trading week.

It’s part of our “War Room Open House,” and we’ve maintained a shocking 90% win-rate for EVERY trade opened and closed during this event.

But for this special celebration, we’re shooting for our best yet.

Click here to sign up for FREE today and access The War Room all week long.