This has happened to me twice. I try to swipe down to look at notifications or swipe up to look at the control panel, but it won't work. I can swipe left or right to change the watch face. The first time it happened, I rebooted the watch and it fixed the issue. This morning, I swiped over to another watch face and the vertical swipe on that face worked. When I returned to the original face, it continued to work. A quick search of this issue shows that it's been reported with previous models of the watch and with a prior OS.