I don't have a problem with any camera shake because it is everywhere, TV, movies, video games. I am fine with it in those why should it be any different for minecraft. Unless I am making a machinima and have turned the hud off then I will do the same, to simulate the feel of a camera instead of a person. I can always add the shake later in editing.
Without bobbing I feel like I'm floating through the air... not cool.
I agree. I can't stand having it off. I could understand wanting it turned down a bit, but you're exactly right- it feels like you are floating around. Nobody can walk without slight bobbing in real life.