I also started my second byz game in 1066. I got my ass kicked by the seljuks in the first major battle, and could never turn the tide. War lasted ten years and in the end I lost Armenia. Painfull yes. But this also ment I lost a bunch of wrong cultured vassals, who were not to fond of me, and as I had been ruling for 10 years already it was easier to keep the remaining ones in check.
It is now almost 1200, and while I still haven't reclaimed all of Armenia yet (almost) I have taken most of Syra, KOJ, Sicily, Croatia, and made the Black Sea a mare nostrum. I even inherited Brunswick (funilly enough for the 2nd time in 2 byz games
), and had to spend quite some money on assasinations on getting that back into the HRE (I like my borders pretty ^^).
What I want to say is that even with a not so optimal start, you can quickly recover and prosper if you wait for the right oportunities
It is now almost 1200, and while I still haven't reclaimed all of Armenia yet (almost) I have taken most of Syra, KOJ, Sicily, Croatia, and made the Black Sea a mare nostrum. I even inherited Brunswick (funilly enough for the 2nd time in 2 byz games
What I want to say is that even with a not so optimal start, you can quickly recover and prosper if you wait for the right oportunities