This is the dredded back-wards typing issue that is fixed in Milestone 3. The workaround is to do the following:
1) Close all your editors
2) Open the Properties view and move it somewhere it can be ALWAYS visible (not just open, but visible).
3) Restart Eclipse
4) Continue to work.
If you see the problem persist, the other solution is to do what I mentioned above, but you cannot close your JSP files. Once you open them you must keep them open. They can be minimized but you just can’t close and reopen them.
The issue is a mechanism by which Eclipse provides cached document model references, it isn’t honoring consistent behavior and in some corner cases when you reopen a file, you are given a stale document model that consumes your key events but isn’t actually updating the correct document model that is written to disk. Which is why you are seeing this strange “kinda saved” behavior until you restart.