I recieved a similar letter back in the day. It said that i hadn't been selected at that board but they would review my application at the next board in about 2 months.
I got about 3 or 4 of these letters about every 2 months just keeping me hanging on, then the day my A-Level results came out they rang me up and asked me what i got. Two days later I got the letter with my IOT start date.
The letter you got seems to just be a standard letter which they use to keep you around whilst they decide whether they have space or if you're good enough.
It is a harsh time to apply but I reckon you still have a good chance if you've got what it takes.
Good Luck!