diff --git a/src/extension.ts b/src/extension.ts
index 3f7b4fa..9d1eab2 100644
--- a/src/extension.ts
+++ b/src/extension.ts
@@ -102,13 +102,14 @@ interface ModeUsage {
 }
 
 interface ContextReferenceUsage {
-	file: number;        // #file references
-	selection: number;   // #selection references
-	symbol: number;      // #symbol references
-	codebase: number;    // #codebase references
-	workspace: number;   // @workspace references
-	terminal: number;    // @terminal references
-	vscode: number;      // @vscode references
+	file: number;              // #file references
+	selection: number;         // #selection references
+	implicitSelection: number; // Implicit selections via inputState.selections
+	symbol: number;            // #symbol references
+	codebase: number;          // #codebase references
+	workspace: number;         // @workspace references
+	terminal: number;          // @terminal references
+	vscode: number;            // @vscode references
 }
 
 interface McpToolUsage {
@@ -194,7 +195,7 @@ interface SessionLogData {
 
 class CopilotTokenTracker implements vscode.Disposable {
 	// Cache version - increment this when making changes that require cache invalidation
-	private static readonly CACHE_VERSION = 8; // Skip sessions with 0 models in avg calculation (2026-02-02)
+	private static readonly CACHE_VERSION = 9; // Added implicitSelection to ContextReferenceUsage (2026-02-02)
 	
 	private diagnosticsPanel?: vscode.WebviewPanel;
 	// Tracks whether the diagnostics panel has already received its session files
@@ -980,6 +981,7 @@ class CopilotTokenTracker implements vscode.Disposable {
 			contextReferences: {
 				file: 0,
 				selection: 0,
+				implicitSelection: 0,
 				symbol: 0,
 				codebase: 0,
 				workspace: 0,
@@ -1079,6 +1081,7 @@ class CopilotTokenTracker implements vscode.Disposable {
 		// Merge context references
 		period.contextReferences.file += analysis.contextReferences.file;
 		period.contextReferences.selection += analysis.contextReferences.selection;
+		period.contextReferences.implicitSelection += analysis.contextReferences.implicitSelection || 0;
 		period.contextReferences.symbol += analysis.contextReferences.symbol;
 		period.contextReferences.codebase += analysis.contextReferences.codebase;
 		period.contextReferences.workspace += analysis.contextReferences.workspace;
@@ -1359,6 +1362,7 @@ class CopilotTokenTracker implements vscode.Disposable {
 			contextReferences: {
 				file: 0,
 				selection: 0,
+				implicitSelection: 0,
 				symbol: 0,
 				codebase: 0,
 				workspace: 0,
@@ -1392,6 +1396,11 @@ class CopilotTokenTracker implements vscode.Disposable {
 						// Handle VS Code incremental format - detect mode from session header
 						if (event.kind === 0 && event.v?.inputState?.mode?.kind) {
 							sessionMode = event.v.inputState.mode.kind;
+							
+							// Detect implicit selections in initial state
+							if (event.v?.inputState?.selections && Array.isArray(event.v.inputState.selections) && event.v.inputState.selections.length > 0) {
+								analysis.contextReferences.implicitSelection++;
+							}
 						}
 						
 						// Handle mode changes (kind: 1 with mode update)
@@ -1399,6 +1408,11 @@ class CopilotTokenTracker implements vscode.Disposable {
 							sessionMode = event.v.kind;
 						}
 						
+						// Detect implicit selections in updates to inputState.selections
+						if (event.kind === 1 && event.k?.includes('selections') && Array.isArray(event.v) && event.v.length > 0) {
+							analysis.contextReferences.implicitSelection++;
+						}
+						
 						// Handle VS Code incremental format - count requests as interactions
 						if (event.kind === 2 && event.k?.[0] === 'requests' && Array.isArray(event.v)) {
 							for (const request of event.v) {
@@ -1763,6 +1777,7 @@ class CopilotTokenTracker implements vscode.Disposable {
 			contextReferences: {
 				file: 0,
 				selection: 0,
+				implicitSelection: 0,
 				symbol: 0,
 				codebase: 0,
 				workspace: 0,
@@ -1805,7 +1820,7 @@ class CopilotTokenTracker implements vscode.Disposable {
 			modified: stat.mtime.toISOString(),
 			interactions: 0,
 			contextReferences: {
-				file: 0, selection: 0, symbol: 0, codebase: 0,
+				file: 0, selection: 0, implicitSelection: 0, symbol: 0, codebase: 0,
 				workspace: 0, terminal: 0, vscode: 0
 			},
 			firstInteraction: null,
@@ -2266,7 +2281,7 @@ class CopilotTokenTracker implements vscode.Disposable {
 	 */
 	private createEmptyContextRefs(): ContextReferenceUsage {
 		return {
-			file: 0, selection: 0, symbol: 0, codebase: 0,
+			file: 0, selection: 0, implicitSelection: 0, symbol: 0, codebase: 0,
 			workspace: 0, terminal: 0, vscode: 0
 		};
 	}
diff --git a/src/webview/usage/main.ts b/src/webview/usage/main.ts
index 925c621..37511a9 100644
--- a/src/webview/usage/main.ts
+++ b/src/webview/usage/main.ts
@@ -6,6 +6,7 @@ type ModeUsage = { ask: number; edit: number; agent: number };
 type ContextReferenceUsage = {
 	file: number;
 	selection: number;
+	implicitSelection: number;
 	symbol: number;
 	codebase: number;
 	workspace: number;
@@ -67,7 +68,7 @@ function escapeHtml(text: string): string {
 }
 
 function getTotalContextRefs(refs: ContextReferenceUsage): number {
-	return refs.file + refs.selection + refs.symbol + refs.codebase +
+	return refs.file + refs.selection + refs.implicitSelection + refs.symbol + refs.codebase +
 		refs.workspace + refs.terminal + refs.vscode;
 }
 
@@ -205,6 +206,7 @@ function renderLayout(stats: UsageAnalysisStats): void {
 				padding: 12px;
 				box-shadow: 0 2px 4px rgba(0,0,0,0.2);
 			}
+			.stat-card[title] { cursor: help; }
 			.stat-label { font-size: 11px; color: #b8b8b8; margin-bottom: 4px; }
 			.stat-value { font-size: 20px; font-weight: 700; color: #f6f6f6; }
 			.bar-chart {
@@ -320,6 +322,7 @@ function renderLayout(stats: UsageAnalysisStats): void {
 				<div class="stats-grid">
 					<div class="stat-card"><div class="stat-label">📄 #file</div><div class="stat-value">${stats.month.contextReferences.file}</div><div style="font-size: 10px; color: #999; margin-top: 4px;">Today: ${stats.today.contextReferences.file}</div></div>
 					<div class="stat-card"><div class="stat-label">✂️ #selection</div><div class="stat-value">${stats.month.contextReferences.selection}</div><div style="font-size: 10px; color: #999; margin-top: 4px;">Today: ${stats.today.contextReferences.selection}</div></div>
+					<div class="stat-card" title="Text selected in your editor providing passive context to Copilot"><div class="stat-label">✨ Implicit Selection</div><div class="stat-value">${stats.month.contextReferences.implicitSelection}</div><div style="font-size: 10px; color: #999; margin-top: 4px;">Today: ${stats.today.contextReferences.implicitSelection}</div></div>
 					<div class="stat-card"><div class="stat-label">🔤 #symbol</div><div class="stat-value">${stats.month.contextReferences.symbol}</div><div style="font-size: 10px; color: #999; margin-top: 4px;">Today: ${stats.today.contextReferences.symbol}</div></div>
 					<div class="stat-card"><div class="stat-label">🗂️ #codebase</div><div class="stat-value">${stats.month.contextReferences.codebase}</div><div style="font-size: 10px; color: #999; margin-top: 4px;">Today: ${stats.today.contextReferences.codebase}</div></div>
 					<div class="stat-card"><div class="stat-label">📁 @workspace</div><div class="stat-value">${stats.month.contextReferences.workspace}</div><div style="font-size: 10px; color: #999; margin-top: 4px;">Today: ${stats.today.contextReferences.workspace}</div></div>