If you turn on the debug for duration of 10 seconds on the Line Trace node, does it show the red line going through obstacles, or does it turn green at the point it hits the obstacle?
If it stays red for the entire length of the line, then it’s not hitting the obstacle, and you might need to try Trace by Object Type or something instead, and feed a MakeArray of WorldStatic and one or two others into it for the collision Object Type.