There are two things that may affect how Graffiti 2 may respond to your writing. The first is whether you have the "full screen" mode enabled, in which case you can write anywhere without having the bottom "display" panel available. In this mode, when you begin writing, everything you do appears as writing, including any attempt to select other options (menu, applications, etc.). I notice if I turn off full screen mode and use the control area at the bottom for writing it is more responsive immediately.
The second item which affects Graffiti 2, when you have it in full screen mode and decide to select an option on the screen, you need to tap and HOLD a split second for Graffiti 2 to recognize you have "switched" from writing mode. Without the short "Hold" after a tap, it continues to think "Writing" and therefore you get the series of periods that you no longer want.
These delays in changes from writing to selection don't occur when you have disabled the "full screen" mode and are using the dedicated area at the bottom.
fnagle