By now you have been told to just hold you finger on the text until the blue curser turns into a clear curser. But as some of you have noted, if you do this you can not see the text under your finger.
You can touch the screen way to the right or left of the current blue curser, then when it turns clear, slide your finger back and forth. Once you lift your finger the blue curser appears where the clear curser is placed.
OMG - that works great! I found the trick is to wait a second or two for the clear cursor to appear. Then you can slid it around. If you want to delete a character, have the cursor on the character to the right of the one you want to delete. Then press the back key to delete it.
also if you change your hover setting to the lowest one, it will turn clear faster. i used to have to hold it down forever, but now it's just a second.