Shift + Two‑Finger Drag = Precise Caret Moves

Rest two fingers on the trackpad. Hold Shift.
With the cursor placed, ⇧ + two-finger drag up/down moves by lines; left/right moves by characters.
Lift and release the modifier.
Rest two fingers on the trackpad. Hold Shift.
With the cursor placed, ⇧ + two-finger drag up/down moves by lines; left/right moves by characters.
…and down again.
Lift your fingers. Release the modifier.

Speed 1.25×

Ready

Why it works

With the cursor placed, ⇧ + two‑finger drag up/down moves by lines; left/right moves by characters.