Hey,
It's not a trick, and it does work. When the wind is light, say 5 kts, I like to see 'speed wrinkles' along the mast. The halyard should be loose enough so that you actually see wrinkles along the mast track. I also like to see a lot of draft by easing the outhall. The sail should have a very noticable curve from the luff to the leach.
As the wind picks up the boat will heel more. No you start to add more tension to the outhall and halyard to keep the boat 'on her feet'.
Experiment with this by noting the speed (a knotmeter is very handy for this as it will react very quickly). Play with the tension and see how the boat reacts. I have found that the 'uglier' the main looks (wrinkles, big belly), the faster the boat goes.
Good luck,
Barry