...Add more rpm say 1400 and the amp gauge jumps over to 10 amps discharge. As rpm increases discharge increases, drop the rpm and it jumps back to the plus side 8-10 amps.
I would believe your ammeter. Rather than concentrating on the regulator, I would look towards the generator (and the battery). Carefully inspect your brushes for wear and good, tight, wire connections (especially FIELD connections).
This may sound too easy, but make sure your (field) wires aren't flexing in one area (like at a kink), causing a make-break condition inside the wire insulation. I usually pull real hard on my wires, individually. If one 'stretches' I know the copper is broken inside.
It might just be, that your generator field is re-flashing itself, causing the temporary drain. As far as RPM, that might be flexing the wires back and forth, into and out of this condition.
I'm not saying anything you don't already know, but this is very abnormal, and it shouldn't work this way. It could also be, when you rev, a wire is rubbing on metal, and when you idle, it quits rubbing. More often than not, these kinds of problems are more mechanical than electrical.
Hope this helps. - Dave