It seems to me that line trace would be more effecient than overlap since a line trace only happens on the frame it is cast. Where overlap needs to be checked every frame.
Line trace is not dependent on tick. For shooting you would only cast a line trace when the user fires the weapon. To detect what the user is looking at you can cast a line trace ever 0.1f seconds or so.
You are going to end up using both for different needs. I use line traces for weapons firing and interacting with usable objects in the world. But I also use Overlap events for things like health pick-ups and triggering cutscenes.