Protein

MFP sets protein too low. To set your macros, check out this link: 

http://www.myfitnesspal.com/topics/show/911011-calculating-calorie-macronutrient-needs?page=1#posts-13821336

Also, it's hard to have too much protein. 

"It has been observed that the human liver cannot safely metabolise much more than 285-365 g of protein per day (for an 80 kg person), and human kidneys are similarly limited in their capability to remove urea (a byproduct of protein catabolism) from the bloodstream. Exceeding that amount results in excess levels of amino acids, ammonia (hyperammonemia), and/or urea in the bloodstream, with potentially fatal consequences,[1] especially if the person switches to a high-protein diet without giving time for the levels of his or her hepatic enzymes to upregulate. Since protein only contains 4 kcal/gram, and a typical adult human requires in excess of 1900 kcal to maintain the energy balance, it is possible to exceed the safe intake of protein if one is subjected to a high-protein diet with little or no fat or carbohydrates. However, given the lack of scientific data on the effects of high-protein diets, and the observed ability of the liver to compensate over a few days for a shift in protein intake, the US Food and Nutrition Board does not set a Tolerable Upper Limit nor upper Acceptable Macronutrient Distribution Range for protein.[2] Furthermore, medical sources such as UpToDate[3] do not include listings on this topic." 

Source: http://en.wikipedia.org/wiki/Rabbit_starvation

The default for protein is the bare minimum. You really want to go over. Aim for .8 - 1 gram of protein for each pound of lean body mass (google for a calculator if necessary). MFP bases the macro levels on the USDA guidlines which are not at all healthy for most people - too low in protein, too high in carbs.

Okay so I did the calculator and it said that my lean body mass is at 126 and it should be at 117. So, if I were to follow your instructions I should be eating about 100-126 in the protein department?

Yes, and it's not difficult with regular foods. Just be sure to get some protein at every meal - yogurt, tuna, chicken, whatever.

And you will be much happier and healthier at a 1lb weight loss, or .75lb. The main reason 1200 calories is vilified is that it is very difficult to get the nutrients you need with such a small food intake. Don't forget to eat back your exercise calories - you need them.