While keyword optimization and black hat seo focusses on getting good PR, it forgets the main purpose of SEO. A better way for you now, if you really want to increase traffic is to focus on creating quality content and then advertise your website among your friends in Twitter and Facebook. If your content is really good then you can ask them to share with their friends as well. This will significantly increase your website traffic.
Again from your description above it seems that you are not focusing enough in On page SEO. Halt your focus on Off Page SEO and give emphasis to On Page for a while and see. Perhaps that might help.
Another reason might be that the traffic decreases in certain seasons or periods of the year. Depending upon your niche that might be the case with your site. If that's the case then probably waiting patiently might help you more than anything.


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