Hanging guard is awesome and one of my favorite positions. Only problem is, overuse teaches your opponent what to expect.
I didn't mention distance because you didn't say where on the arm you were being hit.
If it's hands, your distance is okay but your voiding is off. You'd be well advised when you see the hit coming in, to lift your hilt,(while leaving the point centered) block with the forte or terce, and withdraw.
A nice move is to see the lateral cut coming in, lift the hilt, keeping the tip low, block outside with the forte and then pivot the tip up into the opponent's sword arm. It's very fast and usually unexpected.