Problems with layering stitches in substance

Hello! I'm having this issue with laying some stitching over some denim material. The problem is that it's not layer properly over the height/normal of the underlying fabric. In the official tutorial it's just laid on the materials with no problem but when I do it the stitch doesn't override the height information. What happens then is that the fabric yarn goes over the darn stitches. 

Any help would be greatly appreciated.

Here's the problem and my layer structure for reference.