As seen by the responses of other Queens fans in here, we really are not in a good place right now, and it's almost impossible to find grounds for optimism.
FWIW, I think I'd see our 'natural' station as pretty much that we've occupied for most of the last 20 years - bobbing around somewhere in the 2nd tier. We spent plenty of years before that in the sort of place we are now, or even a worse one, but that involved lots of punching well below our weight.
I'm not going to argue that by rights we should be pressing for a spot in the top flight, but the reality is that mid-table in the Championship gives you a crack at it, so it's not too outrageous an aspiration.
I do think Queens is probably the biggest club not to have featured in the top flight in my lifetime, and I'd love to see that change one day. Right now though, survival in the 3rd tier can't be taken for granted, so my real ambition for us is simply that we have a good season at some point. We've not had even an acceptable one for ages.