@dan_george Thanks for digging into this. However, when I again read the documentation provided here these things don't add up. This is what it says about custom audiences in the connector setup: "On the Facebook site, you will have the option to create audiences based on a customer list, website traffic, or app activity. For this example, create your audience based on a customer list. It is also worth noting that in order to use your custom audience, it must contain a minimum of 20 entries. If your audience has been created successfully, a small "check" icon should now appear beside the button." That whole section needs a review since I have the feeling that the author mixes the two different approaches to the creation of the custom audience, either from the Connector setup or from within Facebook. I will test what you suggest, not using a customer file audience, and see if I can get it to work.
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