I remember reporting this a while ago when changes were made to the Character History editor:
http://nw-forum.perfectworld.com/showthread.php?385571-Character-History-bugs-after-patch-on-2013-07-03
It hasn't been touched at all since. Which makes me sad. The most jarring problem is the text cursor not moving to match where you are typing. It makes editing a nightmare.
I also very much miss the ability to use HTML code to dress up our histories like we used to have. This capability also exists in CO and STO. If it's not possible to revert back to allowing HTML code, could something else be considered like the tags used on the forums? (using [ ] instead of < > )