Traycer: NEW AI Coding Agent Is INSANE! 100x Better Than Vibe Coding (Full Tutorial)

WorldofAIAbout 4 min readSep 28, 2025Watch original
THE SUMMARYAI-generated

Key Concepts

  • Context Engineering
  • AI Agents
  • Planning Layer
  • Hallucination (in AI)
  • Tracer AI (coding assistant)
  • Actionable Plan
  • Phases Mode
  • Plan Mode
  • MUI (Material UI) library
  • Codebase Grounding
  • AI Agent Orchestration

Tracer AI: Solving the Context Problem for AI Coding Assistants

The video introduces Tracer AI, a coding assistant designed to address the problem of AI agents drifting away from the original plan due to insufficient context. The core issue is that AI agents often fill in the gaps when not provided with precise context, leading to unintended outcomes. Tracer aims to solve this by providing a "planning layer" that ensures the input going into the AI agent is crystal clear, thus minimizing hallucination.

Key Features and Functionality

  • Detailed Actionable Plans: Tracer starts every task with a detailed, actionable plan, allowing for iteration on ideas rather than cryptic code diffs.
  • Codebase Grounding: The plan artifact stays coherent and fully grounded to the actual codebase.
  • Intelligent Thinking Process: Tracer detects loopholes and works with the user to resolve them before coding begins.
  • Multiple Planners: Users can spin up multiple planners in the background to accelerate task completion.
  • Automatic Context Gathering: When the AI agent encounters something new (e.g., an unfamiliar UI library), Tracer automatically gathers the necessary context.
  • Integration with Existing Agents: Tracer works with various AI agents like Cloud Code, Cursor, and Rue Code.

Installation and Setup

Tracer can be easily installed as an extension within Visual Studio Code (or other supported IDEs). After installation, users are required to create an account with Tracer.

Demonstration: Integrating MUI Library

The video demonstrates Tracer's capabilities by integrating the MUI library into a basic resume AI application. The initial AI model failed to properly incorporate MUI components because it was not adequately trained on this relatively new library.

Step-by-Step Process:

  1. Prompting Tracer: The user describes the task in natural language, instructing Tracer to integrate the MUI library and replace certain components in the resume app.
  2. Mode Selection: The user chooses "Phases Mode" to work with the AI in building a manageable task.
  3. AI Conversation and Plan Generation: Tracer converses with the user to clarify the intent and breaks down the task into manageable steps. It analyzes the project structure and proposes an implementation plan.
  4. Phase Breakdown: Tracer identifies that the project is a vanilla HTML/CSS/JavaScript app and suggests converting it to React + MUI. The user selects this option.
  5. Detailed Planning: Tracer creates a thorough plan for each phase, such as setting up the React project structure and dependencies.
  6. Execution with AI Agent: The user can execute each phase with a chosen AI agent (e.g., Copilot, Pod Code, or Tracer itself).
  7. Plan Refinement: The user can chat with the plan, suggest changes, and have the AI agent update the implementation accordingly.
  8. Code Application and Verification: After execution, the user can apply the changes, show the diff to review the code, and have Tracer verify the correctness of the implementation.
  9. Review and Iteration: Tracer provides review comments, allowing the user to fix errors and reverify the implementation.

Example:

The video shows how Tracer helps convert the original HTML/CSS/JavaScript app to a React app with MUI components. It details the creation of the new source directory, modifications to existing files, and the reasoning behind each change.

Phases Mode vs. Plan Mode

  • Phases Mode: Facilitates a conversation with the AI to clarify the task intent and break it down into manageable steps.
  • Plan Mode: Provides a detailed file-level plan that can be refined with AI before execution.

Results and Benefits

The demonstration concludes with a successful implementation of the MUI library in the resume AI app. The resulting application is cleaner, more modern, and better aligned with the user's requirements. Tracer ensures that the main structure of the app is preserved while incorporating the new components.

Key Arguments and Perspectives

The video argues that Tracer offers a significant improvement over existing context engineering and orchestration tools by providing a streamlined UX and one-click handoff to AI agents for complex tasks. It emphasizes Tracer's ability to handle new and unfamiliar libraries effectively, which is a common challenge for many AI coding assistants.

Notable Quote:

"Think of it as a planning layer. It makes sure the input going into the agent is crystal clear, leaving no gaps that can cause hallucination."

Pricing and Availability

Tracer is available as a Visual Studio Code extension. The video mentions a coupon code for accessing Tracer Pro (valued at $25/user/month) for $1 for the first month.

Conclusion

Tracer AI addresses a critical problem in AI-assisted coding: the lack of sufficient context leading to AI "hallucinations" and deviations from the intended plan. By providing a robust planning layer, intelligent loophole detection, and seamless integration with existing AI agents, Tracer enables developers to effectively leverage AI for complex coding tasks, especially when dealing with new or unfamiliar technologies. The demonstration showcases Tracer's ability to successfully integrate the MUI library into an existing application, highlighting its potential to improve the accuracy, efficiency, and overall quality of AI-assisted code development.

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