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    Hi there

    Im afraid Im also lost with this featured products problem.

    This is what I have done so far:

    1. I created a new category 'Featured Products'
    Featured Products (ID: 23) + enabled
    Include in Navigation Menu = No (I do not want this category in my main menu)
    I selected some products and added them to my featured products category (so basically those products are in two categories)

    2. Then went to: CMS>HOME>Content>

    <p>{{block type="catalog/product_list" category_id="23" template="catalog/product/featured_products.phtml"}}</p>

    3. Viewed my site - there are only 4 products showing up from the 10 products that are in the featured product category. All products are enabled and in stock

    4. Then went to: CMS>Static Blocks>Featured Products
    <p>VALUES ('Featured Products','featured-products',' {{block type="catalog/product_list" category_id="23" template="catalog/product/featured_products.phtml"}} ',1,'{$creation_time}','{$update_time}')</p>

    There I changed it to 23 - made no difference at all to front end. I can change it to any other number.. no difference.

    I even disabled the featured products static block completely - no difference still only 4 product showing up. It is like it is not even using that static block at all.

    5. Then I went back CMS>HOME>Content>
    Changed the category ID to a category with loads of products

    6. Now 9 products are showing up (but there are loads more in that category)

    So, basically it is not working as planned. I need to add different types of products to my featured products collection.

    Please assist