Observe is a stage in an agentic loop in which an agent examines the result of prior action or checks the state of its environment. The observation may include reading outputs, running tests, reviewing progress, or detecting errors before the next action.
A stage in the agentic loop in which the agent examines or evaluates some aspect of the agent's progress. For example, suppose that the act stage generates some code. Consequently, the observe stage might run tests on the generated code.