Fat Mass, Lean Mass, Water mass, Help?

[gravityhomer]

So, when I measure my weight and I check my bf%, I can figure out how many pounds of fat I have, and then the rest is lean mass.

But my question is, which category does water fall into, the fat or the lean mass? I hear people saying that they lost or gained a certain amount of water weight. I remember John writing one time that he actually gained 6 pounds of water after christmas I think. How would he know?

I was wondering because I am now one week into my fat loss program. I've gone from 209.8 lbs to 204.4 lbs and my bf% has gone from 29.3 to 28.4. This translates to 5.4 lbs total lost, 3.4 lbs fat lost. I use a scale that has electrical impedance built in to check my bf%. How would water weight fit into any of this? Thanks for any info.