@nik202 I changed the Policy to this
- name: RulePolicy
- name: AugmentedMemoizationPolicy
- name: TEDPolicy
epochs: 100
core_fallback_threshold: 0.4
core_fallback_action_name: "action_default_fallback"
enable_fallback_prediction: True
moved TEDPolicy and AugmentedMemoizationPolicy from above to beneath Rule policy and increased the TEDPolicy Epoch to 100. Everything is working fine now, If someone could post a logical explanation, it would have been better.