It looks like the fabric was stretched to much. Use a double stabilizer for it next time.
I've done designs much more denser and the double stabilizer works for me.

You can also "thread paint" the missing parts by dropping the feed dogs and using a motion similar to free motion quilting. You don't have to go fast as you are just filling in.

I agree with PaperPrincess. Float another piece of stabilizer. I usually hoop a piece of medium weight cut away and float a piece of heavy tear away. I found a good tip for embroidering a dense design is to enlarge it in your machine by 5% if you can. The size difference is negligible but it helps a lot with the density.

Cari

IMHO....being a owner of many husqvarna over many years

the design is dense, I actually hoop as little as possible, i use the baste stitch function, I don't use spray adhesive, I either use two layers of stabilizer or one layer of a nice thicker better quality cut away stabilizer, I also agree that at some point it looks like the hoop got out of alignment. Maybe try a new 80/12 needle. I wonder what kind of embroidery thread was used?

well that's my two cents worth :)

You need more stabilizer, make sure not to pull tight in the hoop,, maybe do a basting stitch

I know many hobby embroiderers who don't hoop much, but the pros I know always hoop everything possible! Pros also use cutaway stabilizer whenever possible. I learned I can have 7,000-8,000 stitches per 4" square while using a mid-weight cutaway stabilizer. For designs more dense than that, I use multiple pieces of cutaway, put at 45 degree angles to each other.

Note the the only thing I don't hoop on my multi-needle machine are very odd shaped things that I have to use my Fast-Frames on. That is a very small number of items! In summary, my recommendations would be to not stretch when you hoop, use a quality cutaway whenever possible, and use the correct amount of stabilizer.

Pam

I read where many ladies gave you great advice. But, you could also try a heavier weight fabric with this dense of embroidery. I was going to suggest doubling up on stabilizer as well. I don't think the wash away is a good idea. Once it is made into something and washed you would have a big wrinkle problem that would never be able to get flat.

Help with embroidery
 

Just wanted to thank you all for all the very helpful suggestions. I will not give up! I think it's getting better. This particular design is just not meant for me! But I've taken most advice and things are getting better. Thanks again!

Much better. Two additional comments:
I would try lowering the tension on the top thread just a bit. This might loosen the stitching up just enough where it's not drawing up as tightly vertically. If you really feel adventurous, you could try stitching the black first, then all the colors then the black again. Stitching the outline first sometimes will stabilize the area so there are no gaps.

I was having some puckering problems and it turned out I was tightening the hoop too much. Also have you checked your tension?