Hello!
thanks for your reply. 馃檪
It was finally solved by changing controllers from main menu in Recalbox.
I couldn't turn the joystick 90潞 as design did not allow it. Finally I could change it with the help of an USB keyboard.
I read somewhere that I had to plug a button to "mode" socket to make joystick works, but I guess I missunderstood smth as it works perfectly with nothing plugged in there 馃檪
Problem with this USB encoder is that you can't modify microswitches in different order, as joysticks pins have only 1 way to connect. Solution is to modify controllers from main menu 馃槈
Thanks for help 馃檪