I think what you noticed in the video was the winch drum "rolling back" when the wheels were running in reverse. This was due to the little bit of friction between the winch drum and the drive axle. I've had to put a small clip over the edge of the drum to keep the cable in place when reversing ... the first time the cable "unwound" and made a bit of a tangle.
This TE uses a live axle under all powered conditions (i.e., gear train engaged), including running the winch. To use the winch requires changing hub drive pins on the right (i.e., gear) side so that the brake drum can stop the rear wheel and removing the hub drive pin on the winch side to "disconnect" that wheel hub. Now, the axle can turn with the brake on to hold the engine in place. The load is pulled towards the engine by engaging a pawl on a ratchet wheel on the side of the winch drum. I hope I've got that right and it makes sense ...
I too am becoming more pleased with the dark blue. It's a nice contrast to the bright work.