Fail-Open Patterns: When Your AI Trading System Must Choose Graceful Degradation Over Perfection

Dev.to AI
Machine Learning

Tier 2: Distilled local model (lower latency, acceptable drift) Tier 3: Heuristic rules (regime-aware, no ML dependency) Tier 4: Position sizing only (preserve capital, minimal exposure) The key: pre-calibrated confidence thresholds at each tier. We run w