Adwords click bots, myth or not?

I recently entered an extremely competitive niche on adwords.

My 1st day of the campaign I was profitable. (Spent $350 made $420)

2nd day I did some minor tweaking , increased bids,budget lost a small amount (Spent $425 made $375)

3rd day Lost $520! (Spent $650 Made $130)
Big increase of hits to the landing page, actual decrease in clicks through to the sponsor. (No change to keywords, etc. Campaign just running)

Today- Spent $320 not made 1 sale (beside the one i signed up for to make sure it wasnt broke). Alot of hits to the LP , horrid click through to the offer.
My LP is lightning quick and so are the affil links.

Something seems fishy to me, I'm not giving up on this niche I'm willing to fight for it. But I need to know where to start.

Please reply or PM me if you can assist.

I dont think it's fair to judge average CTR etc with only 4 days of data.
However, from an adsense perspective I've had several clicks registered in the web logs as clicks on my ads, that did not correlate on my Adsense earnings.

The reason is not confirmed, but it is either clickbots, or a bug in the way the logs register clicks on banner ads. More likely to be clickbots as it is quite frequent.
Or it could be the clicks are real and google is screwing me, you and everyone else over.

I was looking at my adwords once and I had a word with 300% CTR I emailed Google, they said this was normally a user going back and clicking again. I said that is was click fraud, I pay for them to come to my site, why am I been charged 3 times? They never got back to me.

Sometimes I do believe Google does pull a fast one every now and again...

one question:have you placed a tracking pixel on the merchants confirmation page?