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Yes, you're missing something. The hands that are numbered are only the hands you put money in to play. So, if you if you fold the SB then it won't show what flopped b/c you weren't involved. So if you play a hand in the BB, but fold in the SB and on the button, then play in the cutoff (CO), then you'll see H1-BB and all the action for that hand, then two little small sections showing what hand you had in the SB, the action on the table before that, and that you folded w/o putting money in. The same for the button. Then H2 will be the hand you put money in to play in the CO.
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