I forgot to mention about another possible glitch:
1. loads a clean save
2. open stats menu and assign '1' and '2' to gearset keys...and assign 'L-Shift+1' and 'L-Alt+1' to gearset keys too
3. now all of these keys should be set to mode0 by default
4. if you change '1' key's mode0 to mode1, 'L-Shift+1' key's and 'L-Alt+1' key's mode changes to mode1 in conjunction with '1' key
5. '2' key's mode doesn't change and it stay as mode0
I haven't fully tested this yet but I'l check when I play oblivion.
edit1:
Edit: Will check that movie soon, got to get off the computer for a bit. Were you using any other gear-set hotkey modes in that save? Or had assigned any other modes after loading it? What the last assigned gear-set hotkeys mode?
IIRC, I wasn't using any other hotkey modes and didn't assigned any other modes either. I'l try to use other hotkey modes later when I test gearset keys.
edit2: I also forgot to ask about this description:
Each Cycler Hotkey remembers a position in the cycle. The position starts out as the first item in the cycle. Each time the hotkey is pressed, it will check to see if you have the item in the current position equiped (or the spell in the current position selected); if you do, it will change position to the next position and cause you to equip the item in the next position; if you do not, it will cause you to equip the item in the current position.
Is this really working now?
Example1:
1. set {Axe, Club, Cuirass, Greaves , Gauntlets, Boots, Mace} to a cyclekey
2. rotate the key once
3. equipped {Cuirass, Greaves , Gauntlets, Boots, Mace}
4. rotate the key once again
What will happen in this case? From the 2nd rotation, will the part of {Cuirass, Greaves , Gauntlets, Boots} be skipped?
Example2:
1. set {Axe, Club, Cuirass, Mace, Greaves, Sword, Gauntlets, Staff, Boots} to a cyclekey
2. rotate the key once
3. equipped {Cuirass, Greaves , Gauntlets, Boots, Staff}
4. rotate the key once again
What will happen in this case?
edit3: I also forgot to mention about this: <--- this is a good one though :rofl:
Cycler keys allows you to skip the cycle on the way. For example, let's say you set {itemA, itemB, itemC, itemD, itemE, itemF, itemG, itemH} to a cycler key and you equip itemA now. If you quickly tap the key 5times, {itemB~E} will be skipped and you equip itemF. This is very quicky.
I dunno other mods have this function though. I like this.

edit4: ANB Item Switcher may have this cycle skipping function too but it allows you to set only up to 4 items to a cycle key so there's only a little benefits. And to say more, it don't allow you to register different type of items in a same cycle.