diff --git a/platform/structuralsearch/source/com/intellij/structuralsearch/XmlStructuralSearchProfile.java b/platform/structuralsearch/source/com/intellij/structuralsearch/XmlStructuralSearchProfile.java
index 7b1ff34ce03c..3b493b4be40f 100644
--- a/platform/structuralsearch/source/com/intellij/structuralsearch/XmlStructuralSearchProfile.java
+++ b/platform/structuralsearch/source/com/intellij/structuralsearch/XmlStructuralSearchProfile.java
@@ -65,7 +65,13 @@ public class XmlStructuralSearchProfile extends StructuralSearchProfile {
   @NotNull
   @Override
   public NodeFilter getLexicalNodesFilter() {
-    return element -> element instanceof PsiWhiteSpace || element instanceof PsiErrorElement;
+    return element -> {
+      if (element instanceof XmlText) {
+        final PsiElement child = element.getFirstChild();
+        return child == element.getLastChild() && child instanceof PsiWhiteSpace;
+      }
+      return element instanceof PsiWhiteSpace || element instanceof PsiErrorElement;
+    };
   }
 
   @Override
diff --git a/platform/structuralsearch/source/com/intellij/structuralsearch/impl/matcher/XmlMatchingVisitor.java b/platform/structuralsearch/source/com/intellij/structuralsearch/impl/matcher/XmlMatchingVisitor.java
index fa14c514f53d..7f385a312296 100644
--- a/platform/structuralsearch/source/com/intellij/structuralsearch/impl/matcher/XmlMatchingVisitor.java
+++ b/platform/structuralsearch/source/com/intellij/structuralsearch/impl/matcher/XmlMatchingVisitor.java
@@ -1,16 +1,26 @@
+/*
+ * Copyright 2000-2017 JetBrains s.r.o.
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ * http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
 package com.intellij.structuralsearch.impl.matcher;
 
-import com.intellij.psi.PsiElement;
-import com.intellij.psi.PsiWhiteSpace;
-import com.intellij.psi.XmlElementVisitor;
-import com.intellij.psi.util.PsiUtilCore;
-import com.intellij.psi.xml.*;
-import com.intellij.structuralsearch.impl.matcher.handlers.MatchingHandler;
-import com.intellij.structuralsearch.impl.matcher.handlers.SubstitutionHandler;
 import com.intellij.dupLocator.iterators.ArrayBackedNodeIterator;
-
-import java.util.ArrayList;
-import java.util.List;
+import com.intellij.psi.PsiElement;
+import com.intellij.psi.XmlElementVisitor;
+import com.intellij.psi.xml.*;
+import com.intellij.structuralsearch.impl.matcher.handlers.SubstitutionHandler;
+import com.intellij.structuralsearch.impl.matcher.iterators.SsrFilteringNodeIterator;
 
 /**
 * @author Eugene.Kudelevsky
@@ -40,8 +50,9 @@ public class XmlMatchingVisitor extends XmlElementVisitor {
     }
 
     if (myMatchingVisitor.getResult() && isTypedVar) {
-      MatchingHandler handler = myMatchingVisitor.getMatchContext().getPattern().getHandler(attribute.getName());
-      myMatchingVisitor.setResult(((SubstitutionHandler)handler).handle(another, myMatchingVisitor.getMatchContext()));
+      final SubstitutionHandler handler =
+        (SubstitutionHandler)myMatchingVisitor.getMatchContext().getPattern().getHandler(attribute.getName());
+      myMatchingVisitor.setResult(handler.handle(another, myMatchingVisitor.getMatchContext()));
     }
   }
 
@@ -49,14 +60,11 @@ public class XmlMatchingVisitor extends XmlElementVisitor {
     final XmlAttributeValue another = (XmlAttributeValue)myMatchingVisitor.getElement();
     final String text = value.getValue();
 
-    final boolean isTypedVar = myMatchingVisitor.getMatchContext().getPattern().isTypedVar(text);
-    MatchingHandler handler;
-
-    if (isTypedVar && (handler = myMatchingVisitor.getMatchContext().getPattern().getHandler( text )) instanceof SubstitutionHandler) {
-      String text2 = another.getText();
-      int offset = text2.length() > 0 && ( text2.charAt(0) == '"' || text2.charAt(0) == '\'') ? 1:0;
-      myMatchingVisitor.setResult(((SubstitutionHandler)handler).handle(another, offset, text2.length() - offset,
-                                                                        myMatchingVisitor.getMatchContext()));
+    if (myMatchingVisitor.getMatchContext().getPattern().isTypedVar(text)) {
+      final SubstitutionHandler handler = (SubstitutionHandler)myMatchingVisitor.getMatchContext().getPattern().getHandler(text);
+      final String text2 = another.getText();
+      final int offset = text2.length() > 0 && (text2.charAt(0) == '"' || text2.charAt(0) == '\'') ? 1 : 0;
+      myMatchingVisitor.setResult(handler.handle(another, offset, text2.length() - offset, myMatchingVisitor.getMatchContext()));
     } else {
       myMatchingVisitor.setResult(matches(text, another.getValue()));
     }
@@ -70,55 +78,33 @@ public class XmlMatchingVisitor extends XmlElementVisitor {
                                 myMatchingVisitor.matchInAnyOrder(tag.getAttributes(), another.getAttributes()));
 
     if(myMatchingVisitor.getResult()) {
-      final XmlTagChild[] contentChildren = tag.getValue().getChildren();
+      final XmlTagChild[] children = tag.getValue().getChildren();
 
-      if (contentChildren.length > 0) {
-        PsiElement[] patternNodes = contentChildren;
-        PsiElement[] matchedNodes = another.getValue().getChildren();
-
-        if (contentChildren.length != 1) {
-          patternNodes = filterOutWhitespace(patternNodes);
-          matchedNodes = filterOutWhitespace(matchedNodes);
-        }
-
-        final boolean result = myMatchingVisitor.matchSequentially(
-          new ArrayBackedNodeIterator(patternNodes),
-          new ArrayBackedNodeIterator(matchedNodes)
-        );
-        myMatchingVisitor.setResult(result);
+      final SsrFilteringNodeIterator patternNodes = new SsrFilteringNodeIterator(new ArrayBackedNodeIterator(children));
+      if (patternNodes.current() != null) {
+        final SsrFilteringNodeIterator matchNodes =
+          new SsrFilteringNodeIterator(new ArrayBackedNodeIterator(another.getValue().getChildren()));
+        myMatchingVisitor.setResult(myMatchingVisitor.matchSequentially(patternNodes, matchNodes));
       }
     }
 
     if (myMatchingVisitor.getResult() && isTypedVar) {
       final PsiElement[] children = another.getChildren();
       if (children.length > 1) {
-        MatchingHandler handler = myMatchingVisitor.getMatchContext().getPattern().getHandler( tag.getName() );
-        myMatchingVisitor.setResult(((SubstitutionHandler)handler).handle(children[1], myMatchingVisitor.getMatchContext()));
+        final SubstitutionHandler handler = (SubstitutionHandler)myMatchingVisitor.getMatchContext().getPattern().getHandler(tag.getName());
+        myMatchingVisitor.setResult(handler.handle(children[1], myMatchingVisitor.getMatchContext()));
       }
     }
   }
 
-  private static PsiElement[] filterOutWhitespace(PsiElement[] children) {
-    final List<PsiElement> result = new ArrayList<>(children.length);
-    for(PsiElement child : children) {
-      if (child instanceof XmlText) {
-        final PsiElement[] grandChildren = child.getChildren();
-        if (grandChildren.length == 1 && grandChildren[0] instanceof PsiWhiteSpace) {
-          continue;
-        }
-      }
-      result.add(child);
-    }
-    return PsiUtilCore.toPsiElementArray(result);
-  }
-
   @Override public void visitXmlText(XmlText text) {
     final boolean isTypedVar = myMatchingVisitor.getMatchContext().getPattern().isTypedVar(text);
     final PsiElement element = myMatchingVisitor.getElement();
     if (isTypedVar) {
       myMatchingVisitor.setResult(myMatchingVisitor.handleTypedElement(text, element));
-    } else {
-      myMatchingVisitor.setResult(matches(text.getText(), element.getText()));
+    }
+    else {
+      myMatchingVisitor.setResult(element instanceof XmlText && matches(text.getText().trim(), element.getText().trim()));
     }
   }