IPhone :: Reset Passcode With Itunes?

From browsing the Internet I see a lot of people trying to bypass the iPhone passcode lock. I have a similar but I think unique situation. I had a passcode set on my phone. I couldnt sleep two nights ago and vaguely remember playing with my phone settings. The next morning I went to use my phone and my passcode wouldnt work. With a sinking feeling I remember seeing passcode settings.

Needless to say I entered codes until I got the Connect to Itunes prompt.

Thinking iTune stored multiple backups, I connected my phone and made a backup not realizing I just erased the one from the prior week. So now I can connect to iTunes, tell it to restore, get the Cannot Restore theres a Passcode message, disconnect the cable, reconnect the cable, it syncs for a few seconds, then have access to the Passcode screen for another 10 tries until it locks again and I have to repeat this.

I dont want to reset and lose my data. In iTunes I can see my apps, music and movies. Is there a way iTunes can reset the passcode? I dont want to do the reset/restore for two reasons: 1) everthing I've read says I lose app data if I do that and 2) since I backed up after locking does that restore the forgotten passcode too so I end up in the same boat?

Info:iPhone 4, iOS 5.1