Reason behind using Manhattan distance

Squaring does not affect the order of nearest points, then with knn the same data points should be chosen.

And about noice

euclidean seems to be even better when noice has less energy than the main dimensions.

this is a good demonstration! euclidean is sensitive to outliners and prefer the averagely non-bad one rather than some good point with some dimensions being noise.

Shouldn´t you be adding that +1 to the x value before squaring?

Euclidean distance = sqrt( (x+1)^2 )

Manhattan distance = | x+1 |

my case is noise in another dimension ;)

however if noise is added to the main dimension,

it will be

sqrt((1 + x)^2 + 1)

vs

|1 + x | + 1

and if we put two curves together (shifted so that tey intersects on x=0)

http://robowiki.net/w/images/5/5a/C3BD3E15-EEB6-4F63-826F-7C1F5E54A78E.gif

euclidean looks terrible with large noise in one dimension, and manhattan looks robust.