F7_PSHistory.ps1

$parameters = @{
    Key = 'F7'
    BriefDescription = 'ShowMatchingHistoryOcgv'
    LongDescription = 'Show Matching History using Out-ConsoleGridView'
    ScriptBlock = {
      param($key, $arg)   # The arguments are ignored in this example
      $line = $null
      $cursor = $null
      [Microsoft.PowerShell.PSConsoleReadLine]::GetBufferState([ref]$line, [ref]$cursor)
      $history = [Microsoft.PowerShell.PSConsoleReadLine]::GetHistoryItems().CommandLine | Select-Object -Unique
      
      # reverse the items so most recent is on top
      [array]::Reverse($history)

      $selection = $history | Out-ConsoleGridView -Title "Select History" -OutputMode Single -Filter $line
      if ($selection) {
        [Microsoft.PowerShell.PSConsoleReadLine]::DeleteLine()
        [Microsoft.PowerShell.PSConsoleReadLine]::Insert($selection)
      }

	  if ($selection.StartsWith($line)) {
	    [Microsoft.PowerShell.PSConsoleReadLine]::SetCursorPosition($cursor)
	  }
	  else {
	    [Microsoft.PowerShell.PSConsoleReadLine]::SetCursorPosition($selection.Length)
      }
    }
  }

Set-PSReadLineKeyHandler @parameters

doing the [array]::Reverse($history) after you Select-Object -Unique means that more recent duplicates are removed.

See my latest here for a solution that:

a) Supports both searching current PowerShell Instance (F7) and Global (Shift-F7)
b) Removes duplicates after sort
c) Leverages ocgv -Filter instead of adding another filter mechanism with Where-Object -like

I'm still learning PS, so I have a feeling there's a better way to package all this, but it works for now.