Oh come ON!

[bellelass]

Ditto on measuring yourself. Every time I've been hell-bent on losing weight, it goes up for the first few weeks and makes me feel like life is a constant uphill battle. How long your's goes up before it goes down depends on your metabolism/level of exercise/diet. It has everything to do with muscle being denser than fat- so a cm cube of muscle is going to weigh more than a cm cube of fat. Don't get discouraged! Keep it up! Once you're building muscle, it actually helps to burn the fat off even when you're not working out. That's how I've always always found that my body works, so I reckon there's got to be something in the muscle being denser thing.
To help combat water retention, try cutting sodium out of your diet. Sodium causes our bodies to absorb and retain water. Slowly replacing "bad" foods in your diet with "good" food will make it less of a shock to you and more likely to be a lasting change. Once you acquire a taste for fresh, varied, vitamin filled "healthy" sorts of foods, anything else will taste like plastic or salt or a paper bag. I don't know how you eat, of course, but that's what I've found for myself.
Try to focus on your measurements, and also on other aspects of burgeoning better health- I bet your skin looks brighter, or you have more energy, or you have a nice buzz after a workout- those are all good things to focus on. Good luck!