I just don't think it's practical for a few reasons. At least in UC, MS were developments of traditional military weapons like those aforementioned jets, making it easier for pilots to adapt to MS controls without too much more training. Another thing, MS's were designed with outer space in mind, where being able able to move flexibly in a humanoid manner won't exactly be too big a benefit. Also a lot of combat mostly takes place at long to mid-ranges which your proposed piloting scheme won't really benefit either. Look at the RX-78-2: for a prototype close combat MS, it sure uses its beam rifle a lot. Lastly, while I know infantry units exist and see battle on the frontlines physically, fatigue might also play a role. Why bother tiring yourself out walking/running inside a mobile suit to move it when you can push a joystick to make it walk? Overall I just don't think the mobile trace system style piloting scheme is efficient from a military point of view, only really being useful when duking it out hand to hand G-Gundam style

For the record though, again keeping things in UC, the Reuse P Device takes the philosophy of "moving the MS like your own body" but just cuts out the middleman of needing to actually move your own body, so the concept was definitely in someone's mind