Targetting with Move Cursor/Target Cursor Right does not work

[Helli]

I am having this same bug but using an Xbox controller.
All filters are set correctly (my son who is NOT having this issue set them like his is)

Character name: Helli Fyrelyght
Server: Diabolos
Situation: groups of players and enemies (such as fates or instances)

In my case steps to reproduce:

Press A to target enemy (will target player 100% of the time)
Try to cycle away to enemy using direction pad: fails.
Use the B button to cancel.

Repeat above steps until by some miracle you manage to target an enemy.