A short list of things I learned about using 2D controls during casual playing on PS2.

1. Analog is very good to use for the most part using this system. It allows you to cut angles that simply are not possible using a digital input method.

2. When loading in many areas. The initial orientation of your controls is random. This means you could be holding Up during a load and initially be moving Right or Down until you adjust. This can be "fixed" by rotating your joystick at least 90 degrees during the end of a load in to an area. (Thanks to SuperGamer for this tip off to me)

3. There are 3 types of camera movement that will impact your inputs while running. A Camera Snap that will immediately change the position of a camera with no movement inbetween. A Camera Pan is when the camera moves smoothly from one angle to another such as when you move from the middle of a street to the sidewalk. The last I don't know how to name or define as it tends to pop up and I haven't found a true trigger for it. This particular camera movement complicates movement more than the first 2 methods.

4. During Camera Snaps, you can hold the direction you were holding in the previous camera angle to continue running along that line in the new orientation. You can even adjust your line during this run using the NEW orientation. (Test this to find thresholds and verify the adjustment. I think it is up to 90 degrees?)

5. During a Camera Pan, your controls change with the movement of the camera. This can greatly complicate movement, particularly on the streets of Silent Hill. You can use this to your advantage with some clever work as well though.

6. The third camera movement doesn't seem to follow the rules of the other two. I have no solid information on this form of camera.

7. You can't strafe or use the strafe buttons to quickturn while using 2D controls. Simple enough.

8. The stairs running up to the final boss cause James to stutter and walk up them often for no reason seemingly. SuperGamer has suggested switching back to 3D controls to combat this, but it might only be viable on PC. I have run into a situation where I was able to run against walls of the staircase slightly an entire section. It is slower than a straight run or strafe but needs no pausing or strafing. Unfortunately, I have been unable to consistently duplicate it with minor effort.

9. Due to Camera Pans, it might be favorable to run in the middle of the streets in Silent Hill so the camera is straight for James. This would promote straighter line running in an open environment with no obstacles. I am skeptical this is correct, but it could be something to consider given how much your movement can vary during the numerous Camera Pans on the sidewalks.

More info:

The console version's camera snaps much faster than PC's.

After a camera change, or pressing "Search View". James's angle becomes locked, and you can "adjust" his angle for about up to 45 degrees left or right. "Adjusting" his angle is relative to James's direction and not the camera perspective. If you try to adjust too far, the analog perspective will reset to the camera's, and this mode of movement is no longer active. This technique is very limited on console to diagonals (read below).

On Console (non-HD versions?), you cannot achieve accurate angles. About 30 degrees upwards on the analog is the same as going straight up. It seems to be the same for Down. I'm not sure for left and right. However, you can achieve accurate angles only at diagonals. This makes adjusting angles very difficult, and most of the time impossible.

Exclusive to console, you can also do what I call "angle snapping". While loading a room, you hold Search View + the angle you want to go. By doing this, James will immediately snap to that angle and run in that direction only (same rules of camera change apply). This is useful for hallways and simplifying certain movements/rooms.

Found out that the "random angle" loads are not actually random. It is based on the last "Search View angle" used. The ABSOLUTE DIRECTIONS of that angle will be applied in the "random angle" room. So if you hold "down" on D-PAD or analog, it will use the direction that would result from the last "Search View" angle on the "random angle" room.

The "last Search View angle" is the angle that you release "Search View" or it is from the last fixed camera angle.

If this still doesn't make sense to you, maybe this (professionally drawn) diagram will help you understand.

An easy remedy to "random angle" rooms is to hold Search View before entering that room, and think of the next room from that camera angle.