Technical analysis by officialjackofalltrades about Symbol PAXG on 12/22/2025

The Hardest Part of AI Trading Isn't the Code - It's Letting Go You can spend months building the perfect system. You backtest it. Tweak it. Optimize it. And then, the first time it takes three losses in a row, you override it. In the era of AI and automation, the battlefield has shifted. The challenge is no longer just "Can I build a system?" — it's "Can I trust it enough to let it work?" The New Psychological Game: Humans vs Their Own Bots We tell ourselves we want robots to remove emotion. What actually happens is more subtle: We stop being emotional about individual trades We start being emotional about the system itself Instead of: "Should I exit this trade?" you think: "Is the bot broken?" "Should I turn it off?" "Why did it take this trade? I wouldn't have." The emotions don't vanish. They just move up a level. The 5 Stages of AI Trading Psychology Euphoria – Early wins, "this thing is a money printer." Doubt – First real drawdown, "maybe it's not as good as I thought." Intervention – You start skipping signals, closing early, or adding your own trades. Confusion – You can no longer tell if results are from the system or from your meddling. Integration (or Abandonment) – Either you learn your role vs the system… or you conclude "AI doesn't work" and go back to pure manual trading. Most traders get stuck between stages 2–4. The goal is to move to stage 5 with eyes open . Calibrated Trust: Between Blind Faith and Total Control Two extremes kill AI trading: Blind Trust – "The bot knows best, I'll never question it." Zero Trust – "I'll override whenever I feel like it." You want calibrated trust : You understand how the system makes decisions You know its expected win rate, drawdown, and losing streaks You have written rules for when you will and won't intervene Think of it as a partnership: the AI follows the rules; you manage the environment and the risk. Designing Your Role Before You Turn the Bot On Before you ever hit "start", write down: Which signals you will take without second‑guessing Which situations require human review (major news, tech issues, extreme volatility) Your hard stop conditions: Max daily loss Max drawdown Max number of consecutive losses Your review schedule (weekly, monthly) for performance and logic If your rules only live in your head, your emotions will rewrite them in real time. Emotional Hacks for the AI Era Trade Smaller Than You Think You Should If you can't sleep, size is too big. No psychology trick beats position sizing. Check Less Often Every peek at P&L triggers a reaction. Schedule times to review, rather than watching every tick. Journal Your Urges, Not Just Your Trades Write down: "Wanted to stop the bot after 3 losses, didn't." Or: "Overrode this signal, why?" Separate Process From Outcome Good process + bad short‑term outcome is still a win . Bad process + good short‑term outcome is a landmine. Your Mind Is Still the Edge AI can: Scan faster Execute cleaner Track more variables than you ever could But only you can decide: What risk you are truly willing to take When a drawdown is "normal" vs unacceptable Whether the system still makes sense in the current regime In the AI trading era, the real edge is a calm, knowledgeable person who knows when to trust the system - and when to step back.