Ah Ha, you’re on Ac 3.5 nuttx, didnt realize before. Loiter is much improved in AC 3.6, I’d suggest update to 3.6.12 chibios - you’ll have to check that all your parameters convert over as expected, and some of them change names. Use the LOIT values I suggested above.
I think you’ll find it to your liking.
Also please tell us more about the aircraft, frame size, props, motors, and so on.
Pitch is departing from Desired Pitch a bit, but Roll looks OK, maybe run Autotune on pitch and roll axis.
Baro might be affected by wind in forward flight, or prop wash - what flight controller is this? and is the baro protected?
You might want to set MOT_BAT_VOLT_MIN to 13.2 instead of 14, but I see you’ve got a very conservative battery failsafe value set.
Way back in time when I used AC 3.5.7, we had:
One odd thing I noticed, you had:
Probably not a big issue, but didnt make much sense to me.
MOT_SPOOL_TIME 2 where I’d normally see 0.5, but if it works…
Also try this for a smoother feel: