It is very important to accurately and effectively track the movement of each mobile terminal in the personal communications networks. Accordingly, various dynamic location update schemes reflecting the mobile terminal's moving pattern are proposed in the literature. Important schemes include time-based, movement-based, distance-based, and direction-based location update schemes. In this paper, we intend to improve the performance of the movement-based location update scheme which is simple to implement and shows good performance. The proposed location update scheme reflects each mobile terminal's movement characteristics and reduces the number of unnecessary location updates. The performance of the proposed scheme is evaluated and compared with the previously proposed movement-based location update scheme through simulation. The proposed location update scheme requires three memory elements to maintain the movement history in the mobile terminal. The simulation results show that the location management cost is significantly reduced especially for the case with small call-to-mobility ratio by minimizing the unnecessary location updates intrinsic in the movement-based location update scheme.