Got another axe and stood next to a fence and swung. The axe hits to the right of the crosshair and not on the crosshair.

Click right mouse button and try again.

The behavoiur is different when you raise or lower a "scope".

Noey Jerd - Melee weapons have collision with the environment. If there is an object obstructing the swing, the weapon will hit that object instead.

But to add to bug list - The player is holding the axe sideways too.

When it is me and a zombie out in the open there is nothing in the way obstructing the swing heh. I was only saying the fence thing because it was hitting the fence to the right instead of on the crosshair. People are typing about this problem/bug/design whatever it is here http://forums.dayzgame.com/index.php?/topic/154088-melee-bugged/

I will try the right mouse button to see if that works.

Well it was still swinging to the right and not hitting anything but when you press space to "raise" the wep or whatever then it hit where the crosshair was. I guess that is all it was... It is just different from the flashlight. You have to raise it like a gun to point it forward but with a melee weapon, for it not to swing to the right, you technically have to "unraise" it.. If that makes sense......