Eric Fox is a psychic who lives in San Francisco and earns his living performing magic shows in seedy nightclubs. This changes when Eric meets Laina, a mysterious woman who trains him to venture inside other people's minds. Laina then hires Eric as a private detective to travel into the minds of the people who attend a wake held in honor of her father, which has died under unclear circumstances.

Psychic Detective is an interactive movie with adventure elements. The player can choose people whose minds Eric is able to read, and also interact with objects for further insight into the storyline. Many of these decisions and interaction choices branch the storyline, leading it to different endings; one of these endings is reached if the player chooses not to interact at all and lets the movie unfold by itself.

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