This is my first experience with Sense (and actually I'm using Nova Prime) but I don't see an option to turn on a Trace keyboard under Settings>Language & keyboard. That option may have been lost when HTC replaced Swype with TouchPal. You can download the Swype keyboard from the Play Store and use it instead of TouchPal.
There is an option in the Language & Keyboard settings. Enable the Touchpad Keyboard and then there are options under the keboard settings for Curve Word Gesture. However even though these are enabled I cant get it to work. I just use the Google keboard that supports swipe gesture.
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