The suggestion by triode to check for any interference with the tonearm bearings is is good one, I'd start there, but there's also the possibility that this later version of the AT-LP120 'table shares an issue with every earlier sample I ever setup for customers, and including the one I own myself-- which is that the anti-skate dial is grossly mis-calibrated, and applies way too little anti-skate for a given tracking pressure setting. For example, setting my machine for any cartridge tracking at 2 grams or less, I need to set the anti-skate at or near its maximum setting! (I test with test records and a scope to look for equal mistracking on both channels as modulation levels on the test record increase.
This degree of error could easily cause tracking issues, especially on a high compliance cartridge like most of the Audio-Technicas. For grins, after you've verified the arm bearings being OK, try setting the A/S the whole way up, and see what, if any, difference this makes with your issue.
The AT-LP120X has the anti skating problem fixed, so it should be powerful enough.
I've tried messing with it earlier, but unfortunately, it didn't help with the tracking.
You really need to get precise with the two-point Baerwald or Stevenson protractors. Something must be off, especially with the inner point position.