I found the solution for on Unreal Slackers discord channel.
Credits to IngmarClarysse#4551 (discord tag)
The solution is as follows:
• First under Render Header, set Facing Mode to Custom Facing Vector.
• Make Sure to set 1 value for each vector entry Custom Facing Vector Mask. (See this as maximum facing vector value or range)
• Then under Particle Update click the + sign add Set specific particle parameters.
• Add Particle.SpriteFacing
• Pretty much done, use this to set the axis restriction.
