Posting in the Magento forums has been disabled pending the implementation of a new and improved forum solution which should better serve the community.
For new questions please post at magento.stackexchange.com, the community-run support site for the Magento community. We will be providing updates on the new forum solution soon. For questions or concerns please email firstname.lastname@example.org.
The way made this work is by making another sub category of Default Category and then move all my categories to be sub categories of that. Then as long as all the categories are set to be Anchors it works!