need advice

This is a follow-up on a former post. My project has been taken away by a sr director. I was a bit upset about it. thought I can still handle this and work with the sr director. However after a couple of meetings, I realize there are some issues that may cause serious trouble for future. I am quite junior and pretty naive in many ways in politics. Want to learn some from this forum to get a sense of what I should do.

Sr director in those meetings tried to discredit my capability. In those meetings, he first challenged me on knowledge in the field. I guess he thought he had more training and experience (he is old) in general so he must know more than I do. Unfortunately he did not come out as winner. I did not realize this was a trap until a colleague warned me about it. He told me to be watchful in the future for traps like this.

Then sr director is seeking ways to say that I did not do my job well because there are a number of things that are not done yet, which is ridiculous since we are not at that stage to compelte those tasks.

Anyway, I thought I could work with him to get things done but it looks like he needs to strengthen his lead position here and want to make me look like a loser.

I thought about talking with my own boss. But this must be out of his hands too. He avoided talking about this. Then I thought maybe I should talk with our group lead. But I can't foresee what good would come out of the conversation except that I let him know that I am very unhappy about this decision.

I know I should leave. but job market is not so rosy. As of now most people tell me to be calm and try to work this out.

any advice comments? Thanks.