I draw a lot on photoshop but often use the selection tool to select parts of my drawing and rotate/resize parts as I go along. Until a few days ago I used to use Photoshop CC 2014 and had no problems doing this. What used to happen was that I would use the selection tool, rotate/resize the selection, notice that the transformed part looked pixellated but I knew that once I hit 'enter' all the pixellated edges would immediately 'smooth' out so it was no problem.
However, this 2020 version no longer 'smoothes' out the edges once I hit 'enter'. I've been messing with the interpolation settings to try and overcome this but I see no difference. I know that this must be possible to achieve since it is something that used to happen in the 2014 version. It's probably some small setting which I have forgotten to enable. However, most of my settings got transferred from the previous version so I am pretty clueless as to how this has happened. Anti-aliasing on my selection tool is currently enabled.
Attached are screenshots of an example and my settings to help illustrate what happens (unfortunately I no longer have access to the 2014 version so I cannot show you a comparison of what used to happen).
I am new to posting here so any help would be much appreciated! Thank you!