Keep adding chlorine several times a day. We have had a lot of pool owners this year who have had this same problem. It will eventually hold chlorine. As many times a day as you can, add more chlorine. Aim for a level of 12ppm. You also should think about getting a better kit that will allow you to test for chlorine levels over 5. Take a look at this thread:
http://www.poolforum.com/pf2/showthread.php?t=10006
In the meantime, you can force your kit to read higher than 5. Read more here.
http://www.poolforum.com/pf2/showthr...5545#post65545
Keep an eye on your pH. You don't want it to go any lower.
Good luck. Keep us posted how things are going. BTW -- Welcome to the forum!
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