Is There a Smart Loot System?

There's already a myriad of things to complain about with this season, but this one's really been bothering me the last two days. I've been grinding relentlessly in preparation for Trials, and I've heard so many people discuss their thoughts on Destiny's smart loot system, but I'm not sure there is one. Since reset, I've received an incredible amount of drops in the same slot, and it is always the one with my highest level gear. Four boots in a row? Yeah, smart loot. Everything I have is 986 except for my 990 chest? Guess what, smart loot gave me two 990 chest pieces in a row after that. This just isn't fun, and with Trials coming up on Friday with power enabled, it's really disconcerting that this smart loot system doesn't seem to be working.