I use a modified wine glass style.
I will say this, I tried using arcade stick back about the time of VF4:Evo / SF3:3S (Xbox 1) / Kof 11. I just couldn't use it, not even in VF4 or VF5. I kept trying but sadly couldn't dedicate the time to it. Tried also GGXX#R (xbox live) with the SF2AE version. Wanted to learn stick but just couldn't, and using it in DOA3 was terrible due to the game's designed bufferring meant for a pad use.
It wasn't until SF4 came out where for the first time in nearly a decade I could play SF again and use Guile. Due to guile's charge motions I found myself adjusting easy to stick since they weren't as complicated as trying to get used to a Shoryuken (
) and a Hadouken (
) motion. I was able to get better with stick because of it. Starting with opposite input notations and simple spacing controls, then adding half circle motions to shortcut his super.
My grip style is generally the shaft goes between my pinky and ring finger, with the sides of the ring finger and the pinky knuckle resting on the dash. I should note that my hands are bigger than the average person but basically the ball top rests in my index and middle.
The problem i've always had was doing
motions and I've recently tried modifying my style to have my thumb rest on the top center of the ball top. Using the thumb to throw it in
or left motions. I'm trying to get that into my accustomed setup but I tend to fall back to using my wrist.