common-context-optimization

Priority: P1 (HIGH)

1. Observation Masking (Noise Reduction)

Problem: Large tool outputs (logs, JSON lists) overwhelm context and degrade reasoning. Solution: Replace raw output with semantic summaries after consumption.

1. Identify outputs exceeding 50 lines or 1 KB.
2. Extract critical data points immediately.
3. Mask by rewriting history to replace raw data with summary placeholder.
4. See references/masking.md for patterns.

See implementation examples for masking patterns.

2. Context Compaction (State Preservation)

Problem: Long conversations drift from original intent. Solution: Recursive summarization that preserves State over Dialogue.