Yes and no. Consider that prime time for submarine attack are sunset and sunrise. And that submarine will be spotting ships at or near the horizon. Those garish bold strokes of orange, yellow, pink and purple might blend quite well with many of the maritime sunsets and sunrises I've seen. At mid-day with a clear sky those colors stick out but mid-day is also prime time for submarines to be spotted. The last thing any submariner wants is to be spotted.

Even a common freighter of the day had a pop gun, typically a 3" to 5" gun, that could easily ruining a submariner's day if they had something to lay the tube on. Submarines are always happier dishing it out than taking it.

Your right that some dazzle camouflage seems to be far more concern with making its orientation to the observer hard to determine than concealing its existence.

http://gotouring.com/razzledazzle/articles/dazzle3.html

Hurts my eyes to look at that. I would be beside myself trying to for sure what direction the ship might be traveling in. A wild guess of +/- 30 degrees is as well as I could manage.