Tire Options for a 2003 Tacoma Quad Cab PreRunner...Can Use Some Help!

Would appreciate any suggestions or directions regarding how best I can redress some issues I have been having with my current tires/rims. Here are the specifics:
2003 PreRunner Quad w/130K. Purchased as a lease turn-in in 2005 w/30K. Came with (upgraded) 7jx16ET15 steel factory rims and BFG T/A P265/70/R16s. Since two tires were new at time of purchase, I have been replacing them two at a time ever since when needed.

The issues I have encountered are primarily the reduction in low end torque & sluggishness with the oversize tires and 16 inch rims. In addition, at speeds around 65 mph I have always had, to a lesser or greater degree depending on tire wear, that slight wobble in the front end at this speed. Initially balancing the tires again helped somewhat, but eventually I end up with a lot of wear on the outer edges of the front tires. A front end alignment after my last set of new tires did not seem to alleviate this to much of a degree.

Most of my driving is highway. I read for the 2003 PreRunner, 16 inch rims were standard, with the two OEM tire sizes being 235/55/R16 or 265/70/R16. My conundrum is I think a less-tall tire (as opposed to what I am running now), would hopefully help with the two problems I have been experiencing. A longtime friend and "gear-head" suggested going shorter, with either a 215 or 225/60/R16 BFG T/A with a more conventional tread pattern. This presumably should help with both issues I have concerns over. However, I don't want to go too short or thin, as I don't want the truck to look like it is running training wheels, either! BTW, I like my Toyotas and tend to keep them around. I put 376K original miles on my 1981 Corolla Sport Coupe when I had to let her go back in 2006 (best car I ever or will ever own) and currently have 296.5K on my 1991 Toyota SR5 2x4...both I bought new. Thanks!