Derry, who had hoped the FA would rescind his suspension due to a refereeing error on the grounds that Young was offside, blasted the verdict as "ridiculous" and added: "I don't know what they do at the FA, but it's not working."
Derry missed his side's defeat of Swansea last night and revealed the club had been so confident his card would be overturned he had trained as part of Mark Hughes' selected team.
Derry told mixlr's official QPR call-in: "I thought it was a foregone conclusion that it would be overturned and I would be available for last nght. Everyone thought the FA would put it to bed that way.
"I lined up in the training session to play, then I got a call from our assistant manager Mark Bowen who said it had been turned down and I was absolutely gobsmacked. To miss out on the next game is ridiculous really."
After the incident on Sunday, in which none of the officials noticed that Young was in an offside position, Rangers boss Mark Hughes admitted his side were "losing faith in referees."
Hughes' mood will not be improved by the FA's response, with Derry adding: "The e-mail we got back from the FA was one line telling me my appeal had not been successful.
"That's as far as the e-mail went - there was no explanation as to why it was not overturned, or even any indication of why I got sent off in the first place. The whole scenario is quite bizarre really.
"It was the single highlight of my career to lead a Premier League side out at Old Trafford - perhaps the pinnacle of my career. So I was bitterly disappointed to say the least. It is a tough pill to swallow."