A feedback circuit with feedback impedance modulation according to the present invention comprises a compare circuit, a counter and a switching resistor circuit. The compare circuit receives a feedback signal of a power converter to compare the feedback signal with a threshold signal for generating a control signal. The feedback signal is correlated to a load condition of the power converter. The counter is coupled to the compare circuit and generates a modulation signal in response to the control signal. The switching resistor circuit is coupled to the counter and a feedback loop of the power converter for modulating a feedback impedance of the power converter in response to the modulation signal. The feedback impedance is directly modulated from a lower resistance to a higher resistance when the load condition is reduced from a half/full-load to a no/light-load. The feedback impedance is gradually modulated from a higher resistance to a lower resistance when the load condition is increased from the no/light-load to the half/full-load.