Well, let's see. Did the Ferengi have FTL sensors? Yes, it must have in order for them to lie in wait at a moon, spot the Stargazer traveling by at Warp 2 and then catch up and attack it.
PICARD: We were traveling at warp two through the Maxia Zeta star system when this unidentified starship suddenly appeared and fired on us, point-blank range.
RIKER: Where did it come from?
PICARD: It must have been lying in some deep moon crater. First attack damaged the shields. In the confusion, they hit us a second time.
And what was required of the Picard Maneuver?
1. High Warp
2. The Enemy choosing
the wrong target to fire at.
3. Possibly some kind of timing for a sensor bearing "return arc".
PICARD: I improvised. With the enemy vessel coming in for the kill, I ordered a sensor bearing, and when it went into the return arc
DATA: You performed what Starfleet textbooks now refer to as the Picard Maneuver.
PICARD: Well, I did what any good helmsman would have done. I dropped into high warp, stopped right off the enemy vessel's bow and fired with everything I had.
RIKER: And blowing into maximum warp speed, you appeared for an instant to be in two places at once.
PICARD: And our attacker fired on the wrong one.
How does "seem to disappear" fit into this?
It would still have to be at "high warp" and "appear at two places at one time". The main viewer clearly showed it in action and that "seem to disappear" could be the instant the ship hopped into high warp, possible timed with a sensor pulse return to then "suddenly appear" again in a different spot. The enemy ship could still be running FTL sensors but a high warp hop could've occurred between FTL sensor readings leading to a "seeming disappearance". The main viewer does show that the E-D had no problem tracking the hop though. So that would leave crew error in targeting the wrong ship, not necessarily a timing problem in re-targeting ships.
DATA: I have computed a possibility, Commander. Since even deep space contains trace gases, sir, a vessel in the Picard maneuver might seem to disappear, but our sensors could locate any sudden compression of those gases.
All, IMHO, of course