No, Axel wasn't gay, but let it be known that I think Square-Enix designed him with the intention of making people (particularly yaoi fangirls) think he's gay. Let's face it, folks, Kingdom Hearts is filled to maximum capacity with yaoi bait. There are so many potential couples in this game, yet at the same time, there are only four original female characters- Kairi, Namine, Larxene, and "#14." I mean, just look at the Organization. Here you have a secret society living in total seclusion whose members include twelve Bishounen and one girl who is killed off within five hours of her introduction. It doesn't take a master detective to figure out what Nomura's real intention was; to make the fangirls speculate and, thus, buy the game. I'm willing to bet that none of the Kingdom Hearts characters are actually homosexual, they were just created with yaoi fangirls in mind.
Axel/Roxas was just one of those alleged couples. Do I think that it's possible that Axel and Roxas were gay for each other? Yeah, I wouldn't say that it's impossible. However, by no means was it confirmed in the storyline. The only thing we know for sure is that Axel cared very deeply for Roxas. On that note, though, I am willing to concede that Axel/Roxas is probably the most likely yaoi couple in this game. But before you say anything, yaoi fanatics, I refuse to support Soriku regardless of how much fanfiction you throw my way! It's just not happening, darnit!
Amen! Amen!! Though, I may throw some Soriku at you just to bother ya.
Anyway, the first (and only) time I played KHII, I totally thought Axel was gay. Totally. Then my common sense kicked in, and I knew he couldn't be gay. He's just really attached to his best friend. But could you really blame me? The entire first six hours of KHII was so disorienting.