GeraniumV - Basically I'm off the radar for high traffic terms that went to certain pages (including the homepage). However, for long tailed keywords, I've held steady. Unfortunately, due to the loss of ranking for the important terms, traffic is down at least 75%. For the lesser important pages on my site, traffic has always been low, so while they're ranking about the same as before the update, it's not enough to keep my business afloat.
Regarding the recent 2.0 update, I'm guessing that Google doesnít like who is linking to me for the keywords that I'm being penalized for. What's so frustrating is that I have evaluated my inbound links and see very few spammy sites linking to me. The ones that look spammy are Chinese directory sites, some Russian, etc. Most pages linking to me are ones that I've never had anything to do with. It doesnít appear to be bad enough that it would have hurt me, though Iím probably wrong.
One thing to mention is that two of these inbound links came from blogs where my URL appeared sitewide in the 'blogroll' with the penalized keywords. These two blogs were run by an acquaintance of mine from 3 years ago. I wrote him on Monday, the 13th, and asked him to please remove these as they look unnatural, and he did right away. After thinking everything over, this could be the reason why I was penalized for only the certain keywords. And if that's the case, I need to follow the recommended procedure for getting back into the index. (or find new keywords?)