I am connected through a router. I just port forwarded wow, but what do you mean by port forward the required ports in my operating system? I'm using win7.

After I port forwarded wow I logged on and my latency was 11450. Then it dropped to 2200 and stayed red the whole time but yet I ran an instance without any noticeable difference and my dps stayed where it normally is... It seemed like I had no lag at all. Is the latency reader in wow accurate?