7) Research different plugins for adsense. Try to find one that will rotate ads to different positions on your site/posts/pages. Keep track of which position and ad sizes are performing the best. Once you have a good cross section of data, you can do one of two things. 1) Permanently place the best ad in the best position. 2) Look at the ads that are being displayed by Google and advertise for them directly. Acctually, do both of these.....or none. Test and see what works for you.
8) Don't be paranoid about Google. They know everything about your site whether or not you're using their products. Try to work with them instead of against the grain and you shouldn't have any problems.
9) Your rankings are 'bipolar' because your site is relatively new. Google is trying to determine the relevance of your content and find out where your site really belongs in the rankings. This "Google Dance" will start to settle once you have a good link profile going on that can compete with the first page.
10) Do competitive research. Look at what sites are ranking top 10 for your keyword. What types of links do they have pointing to their site? How can you get those same links? How are they monetizing their site? With Adsense? With CPA offers? Are they building a list? Do they have an exit pop? Is their content quality or trash? What secondary keywords are they going after? What does their site structure look like?.....You want to get on the first page so that you get traffic and make money. So, at first, copy the strategies of your competition. Then, take over your competition by doing it better.
Solid stuff, bro.