Week three and i went from thinking i hit a plateau to gaining a pound.

Is this normal? My bowels are moving ok.

I'm freaking out. Considering I've gained weight on every diet I've ever been on in my life I just don't know what i'm doing wrong

My appetite has improved and am eating my soft foods well and crunchy crackers are ok too so have been eating rye crackers which are keeping my bowels in good shape.

I would relax. You may be at your first mini-stall (I speak to you today from a very long and frustrating one). Water retention could very well be a factor, especially if you had some carbs during your meal. That would cause your liver to store up to three pounds worth of glycogen. So, you may have lost two pounds of fat, but gained three in glycogen storage, totaling a gain of one pound. Those three stored pounds are the first to come off if you work out. This is why I only weigh myself after workouts...so that the amount of glycogen stored doesn't depend on what I've eaten, which is hard to standardize even when counting very meticulously.

Stop. Stop. Stop. It is entirely normal for anyone's weight to fluctuate a couple pounds day to day, repeat, anyone - no matter whether that someone is trying to lose, maintain, or gain. Do not put yourself through this!

If you are eating more carbs (from the crackers) than you had been, then yes, you are putting glycogen back into your muscles and your liver. Glycogen is muscle sugar - fuel. For every ounce of glycogen you put back into storage, you also put back four ounces of Water. Glycogen is NOT FAT - and what you are trying to lose is fat, not fuel.

Glycogen is not fat.

Water is not fat.

EVERYONE has a pound or two that goes up and down, depending on various factors that have absolutely no bearing on overall fat loss, OK? Now go follow your program, go take a walk, but stop beating yourself up over this.

I would eliminate the crackers from your diet. Sounds like you are doing well, and it's normal for your weight to fluctuate. I wouldn't wig out about it. Keep track of what your eating and discuss it with your NUT.