The Intex filters are generally only barely adequate for normal filtration. Clearing a bloom will tax its capabilities. It will take a while to clear the cloudiness once the algae is dead, and if you still have an overnight FC loss, then it is not all dead.
The realities are really pretty simple: Two things will 'use up' chlorine in the pool - UV/sunlight, and organics. You will lose some FC to UV during the day (CYA helps to reduce this, but not eliminate it) but if you lose any at night then it due to trying to kill off organics in the water. This would be that pesky algae you're working on. As chlorine kills, it gets consumed. This is why you must replenish the chlorine as it does its job. If the FC level drops below shock level while the algae still lives, it will start to grow and spread again.
Additionally, the algae, as it dies, does not vanish. It will exist in the pool water as a gray cloud. It must be removed from the water by filtration, and as I mentioned, the Intex filter is pretty slow.
This is where you must have patience. What you are doing is working, and when there is no more FC loss overnight, you can let the FC drop to a normal level and focus on filtration.