It is very possible that you are still in ketosis, but your pee strips are not able to detect it. When your body becomes more keto adapted, it will no longer register on pee strips, resulting in false readings. At this juncture, to measure ketosis, you will need to do blood testing or breathalyzer testing. However, many people eating keto don’t bother testing. So this is an expense you will have to decide upon.
As for the high readings for sugar, I’m not quite sure what to tell you, as you say you are diabetic and I suspect you are on medications. I know people without diabetes can get higher sugar readings if they eat too much protein (which forms glucose in the body via a process called gluconeogenesis, and which also kicks them out of ketosis). They can also release sugar that is trapped in fat (as they lose weight), too.
Have you increased the amount of protein you have been eating? How much protein do you eat (as in grams per day?)