You have set bet type on 1st favorite by position, but that selection will never be 1st favorite if its price goes up by 200%.
If you wish to bet on first favorite from before in play then at strategy "Edit" form tick option to use favorite positions from before in play (the one where you set strategy name).
Also your price range is set to 1.01 - 7.0, with price change of 200% it is most likely that price of your selection will be above 7.0.
You have set to place exchange bets at Start price during in play, so your bets will be unmatched as you will place bet at price e.g. 2.5 when Lay price is 5.5 or more. Maybe you should set "Price settings->Price rules" to use currently available price when placing in play bets.
Also change your Overrounds to 175/25% as during in play offer is not good as before in play. Change Back/Lay ratio from 15% to 50%.
Then try again in simulation mode to see if it works like you want it to.