Divisions in Seasons

I mostly just play Online Seasons on these games and like to try to climb the divisions. I had a good run and managed to get myself to Division 3, pushing for Division 2.

Then it was like I hit a wall. Suddenly, my players can't pass the ball to the team mate right next to them. Every shot hits the post or goes wide, even when I'm clean through. My opponents on the other hand, score on every shot. Needless to say, I have now lost 7 straight games.

I just checked the opponents I faced, and turns out that out all of the last five (and probably also those before that) play in Division 1 and 2! Why would that happen when I'm only in Division 3? I thought you only play against people in your own Division. I mean, what is the point of even having "Divisions", if you already play people two divisions above you, who are clearly miles ahead of you? Anyone know how this actually works, or why they would they designed it this way?