Task(5408): Document Terminal Output Compression feature for Code Studio

[udhayarekha01]

Description

This PR adds documentation for the new Terminal Output Compression (Preview) feature, which intelligently reduces verbose terminal output before sending it to AI chat, allowing the agent to maintain better context for code understanding.

Changes

Documentation

• Updated: terminal-tools-improvement.md
  • Added new "Improvements" section with Terminal Output Compression details
  • Documented what the feature does: automatically compresses verbose outputs while preserving context
  • Listed supported commands: git diff, ls -l, npm install
  • Explained compression behavior: removes unchanged, redundant, and low-value content
  • Added step-by-step setup guide (6 steps) including:
    • Opening Settings
    • Locating and enabling chat.tools.compressOutput.enabled setting
    • Using the feature with example prompt
  • Included visual example showing agent response

Assets

• Added terminal_compression.png
  • Screenshot demonstrating terminal output compression in action

Motivation

Helps users discover and configure the Terminal Output Compression feature to optimize their agent interactions by reducing noise in terminal output.

Benefits

• Reduces token usage and improves AI context quality
• Enables agents to focus on meaningful output
• Provides clear configuration and usage instructions
• Includes visual example for better UX understanding

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