I have created a service bus queue in Azure and it works well. And if the message is not getting delivered within default try (10 times), it is correctly moving the message
It sounds like it could be related to ASB's "duplicate message detection" functionality.
When you resubmit a message in ServiceBus Explorer it will clone the message and thereby the new message will have the same Id as the original message in the deadletter queue.
If you have enabled "Requires Duplicate Detection" on the queue/topic and you try to resubmit the message within the "Duplicate Detection History Time Window", then the message will immediately be moved to the deadletter queue again.
If you want to use Service Bus Explorer to resubmit deadletter messages, then I think that you will have to disable "Requires Duplicate Detection" on the queue/topic.