Control the Ball: When receiving a pass, press the directional button to control the ball in that specified direction.
Trap the Ball: When receiving a pass, press the directional button while holding the R2 button to trap the ball and face the specified direction.
I find the latter to be more beneficial. Simply turn into the space and either play a first time pass, or take a few touches with dribble, or slow dribble. But be careful of sprinting unless you're in a lot of space (preferably out wide).