I recently played with my friend's Nexus 7 and tried the gesture typing. And I'm surprised it only works on user's locale keyboard. It lacks Ukrainian dictionary too :( , but that's another question.
It works only on Russian keyboard. Dictionaries for all English variants are present, I even tried all three English keyboards (QWERTY, UK, US). Android version is 4.2.2.
Is that a bug? A reported one?