I go agree on the premise that emotions are a bad influence. But I think you give the human trader much more power than they actually have in affecting the economy as a whole.

Change your look higher, not at the traders but at the emotional person(s) that set economic policy. The people that decide if we will have another mass printing of currency or if we will change the interest rate.

The past 30 years or so we have seen that those that set policy are afraid of small recessions and afraid of failures. They have adjusted the interest rate over the last decades from about 15 percent per year to a negative amount as a result. Something that should look strange to anyone..

The fact of the matter is that those in charge have changed what it is to be in business. A 100 years ago when a company did bad they would go out of business and a new one would replace it. A natural evolution towards being better for your customers.
This has changed to a situation where bad businesses can get extremely cheap loans and put up bonds on the market that are virtually guaranteed to be bought by the central bank in order to stay in business.

Today size is what matters, not how efficient or how useful you are to the economy.

If anything, your post thinks too small. Its true that emotion has gotten the better of us, but you are missing the extreme distortion of the market (grown in decades) by the policy makers.