If the contextual links pointing to your website are related to your website, the links have higher value for SEO and Traffic. All others can be used as spam so Google gives them less value for SEO. For contextual links, the content should be related to your website, too.
You can't stop creating new contents on your website. Contents and back links are the most important things in SEO now. So do them at the same time and never stop.
Google now shows the description of each search result according to the keyword that users are searching. If the keyword is not related to the meta description, Google will grab some contents from your page and show them in the result. If your description is too long or too short or it is copied...
Hey,
I think it is because you are viewing your total report. I think the position of some keywords that bring you big traffic have dropped. But some useless keywords' position increase a lot. So the avg. position is higher but the traffic is less than before.
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