Ah yes you're right, forgot this "detail". Well good news : it doesn't change anything in linux, because there is some compensation built in the driver for this controller for its horrific dead zone.
But in windows where there is no compensation, indeed it happens. I'd say maybe there is a way to improve the dead zone compensation for that in raine, but really, the easiest solution is just to use the left stick in the gui instead of the dpad OR just not relying so heavily on the auto repeat, OR even better, just use the keyboard it's much faster to navigate the menus anyway !
Apparently the dead zone compensation works as long as there is only 1 axis moving, if there is more than 1 at the same time, it creates havoc and since this thing is a dead zone nightmare, moving the left sitck 1st as you do makes sure that raine will receive moves from the left stick forever after this, add either the right stick or one of the triggers, and the dead zone compensation becomes crazy !
I'll see if it can be improved, but it's super low priority because you have many ways to work around that.
Well the difference with the ds3 is that you can stop the perpetual movement with the ds3, it's not always easy, but always possible. Here it seems to have become impossible (in windows at least !). What's this horrible light for by the way, the big one they added on the controller ? It's a generation 2 too, yes.
edit : after looking at the code, I don't want to make it more complex. If you find a case where it's problematic without moving one axis while pressing the dpad (that is all the axis close to their neutral position), I'll have another look, but for now it's just not worth the trouble. I noticed that usually most games don't even bother adding an auto repeat for the joystick when it's usable in the gui, so it's already better than most here.