Absolutely recommended. I've tried using Compressor (3.5 back in FCP7 days) and never was able to get satisfactory results (too many parameters for me — I always messed something up) and Compressor always took much longer to transcode. [I have not purchased Compressor 4.x — I'm perfectly satisfied with the quality I get from QT7Pro.]
QT7pro is straightforward. It gives YouTube exactly what it wants. If I stay within recommended limits, YouTube *will not* transcode the video again! Which means, my uploads are processed and ready almost as soon as they are finished uploading.
I export most of my projects out of FCPX to hard drive as ProRes 422(LT). Usually more than enough bandwidth. If I need more, then I'll jump to 422(HQ) and if I need maximum quality: 4444 (very rare.)
When you transcode for YouTube for 1080, these are the overall targets:

Make sure Prepare for Internet Streaming is set for Fast Start.
The compression settings are as follows:

Set the Frame Rate to 29.97 (or the exact framerate of your project). Key Frames: Automatic (let the compressor figure it out). Turn OFF Frame Reordering (Quicktime can handle reordering, but YouTube is not prepared to deal with it.) Data Rate: Restrict to 8000 kbits/sec.
This is based on the current YouTube requirements: https://support.google.com/youtube/answer/1722171?hl=en (if you look down the list to Bitrates, use the maximum Video Bitrate for the format you are trancoding. Do not use the High Quality settings listed unless you qualify as an "enterprise"!)
When you select Restrict To, the Compressor Quallity slider will max out at High (you cannot select Best.) The Encoding option should always be Best quality (Multi-pass).
A few years ago, YouTube used to have a problem playing back 1080HD without "squashing" a few lines (it was obvious at the time... and annoying, especially for screencapture tutorials.) I discovered if I set the Preserve Aspect Ratio using: Letterbox, that the squashed lines disappeared. It's become a habit.

When setting Dimensions, always use the sizes above the NTSC/HD Broadcast settings (like HD 1920 x 1080 16:9)... There is a difference and the HD broadcast settings will not work well on YouTube.

These are the sound settings:

I use 160 or 192 kbps VBR AAC (the Sound Quality slider is not specific, but if you refer to the first image above, you'll see the kbps selected there). As far as I've been able to tell, this is perfectly acceptable for YouTube (even though they recommend Constant Bitrates) and the VBR setting will not cause YouTube to re-encode.
If you exceed the Advanced Encoding Settings laid out by YouTube, I guarantee your video will be re-encoded by YouTube to fit. That means a second compression on your work. That means less quality than you expected. If you do all the heavy lifting yourself before uploading, you will already see what you can expect to get from YouTube. 8000kbps for 1080 in H.264 is going to result in more than satisfactory video quality 99% of the time (it used to only be 5000kbps!!) and your upload will be WYSIWYG.
Uploading directly from FCPX to YouTube has never made any sense to me. I do not trust YouTube to do a good job of transcoding the video with quality. Sharing to H.264 from out of FCPX is a great way to get a high quality movie for archival purposes, but it is completely unusable as an upload source for YouTube (and you have no options to adjust for bitrate/bandwidth). You never want YouTube to transcode your video for you... period.
QT7Pro is easy to use. There are not nearly as many pitfalls as there are in Compressor. Also, this workflow is an order of magnitude less time consuming than trying to upload straight to YouTube from FCPX, or sending the project to compressor. FCPX takes almost no time to export to ProRes LT (especially if the project is pre-rendered), and QT7Pro transcodes to H.264 in about half the time Compressor (3.5) would. And when you're video is live almost as soon as it finishes uploading, it saves time all around. [By almost I mean that after upload/processing, YouTube takes time to find a set of Thumbnails from which to choose... that seems to take a minute or two.]
As a PS - export should be to .mov, not .mp4. YouTube handles .mov files just fine (contrary to the document I linked you to above — former versions of that document, before Google took it over, included .mov container files as an acceptable upload format [and included a separate section for Mac users!]). Always use H.264 codec. MP4 is an older, less efficient codec and not anywhere near the quality of H.264.