It's a combination of two things:
There was a bug in 0.8.0 that we just fixed, so if you try with jquery.flot.time.js from master, you'll immediately notice an improvement.
Even with the fix, the ticks will still jump around a bit. That's because you have a large enough range that the ticks only appear every ~3 days. Internally, however, the tick generator still sees one day as the minimum interval. It therefore recalculates as soon as you pan by a day, even if that was only a third of the tick interval's size.
You can usually work around that problem by assigning a suitably high minTickSize; [5, 'day']
, for example, to convince the tick generator that it doesn't need to recalculate. This works best when you know the plot's dimensions ahead of time.