The oscillation is a real problem. Attempts to overcome it began with cyclic phase adjustment. That was the most successful, but just created a standing wave of its own & might have been just compensating for a calibration error.

There was delaying the velocity readout by slightly less than a period of the oscillation, which amplified it. It looked good on paper, but the delayed output became the new velocity readout, making its own standing wave.

If there was a way to exactly align the heading readout, it might work, but the heading readout is never going to be stable. It shouldn't be that much of a problem if the position feedback is doing its job.

Next comes the age old trick of using cyclic to predict future velocity. You have the instantaneous cyclic from the P & D feedback & know anything nonzero is going to make velocity grow.

It looks interesting, but what exactly am I looking at?