iPod touch Restoration Problem

make sure you're USB is unplugged. when you're at the screen with the itunes symbol and the usb arrow, hold down the home and sleep button until the screen goes black, at this point, keep holding for another 10 seconds. at this point your screen should look black as if the ipod is off. connect to the computer and itunes shoulds show a message like "itunes has just discovered an ipod in recovery mode" you'll be able to do a restore and regain use of your touch.
if this does not work, message me back.