I am connected to internet but iTunes diagnosis says I am not connected.

I was trying to update my iPod touch OS to newer version (4.2.1 to 6.1.3?). To do that I downloaded the operating system and then tried to update. My latest iTunes shows that "iTunes has detected an iPod in recovery mode. You must restore first.......". Then I click the button "Restore iPod". Then iTunes shows "Extracting software". Then it shows the error message "The iPod can not be restored at this time because the iPod software update server could not contacted or or is temporarily unavailable."
Then from the iTunes help menu I click the button "Run Diagnostics". In the Network Connectivity Test mode it shows two results: Green: Network interfaces verified and RED: Internet connection failed, RED: Secure Link to iTunes Store failed.
I don't understand why it shows "Internet connection failed" because at the same time I am accessing iTunes store, opening apple web site and accessing other sites.
Please help me to restore my iPod.
I am looking forward to hear from you.

iOS 4: Updating your device to iOS 5 or later - Support - Apple
iOS: Unable to update or restore - Support - Apple
iTunes for Windows: iTunes Store connection troubleshooting
See if any of these three may help.

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Hey there manmarmartinez,
It sounds like your iTunes is not able to connect to the internet but your other internet programs work just fine. I would start with checking to see if perhaps proxy settings may be preventing the connection with this article named:
iTunes for Windows can't access the Internet if proxy settings are incorrect
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   Plug it back to the wall. Power the router on. Wait until all the lights are lit properly.
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Restart the computer.
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I am connected to internet but iTunes diagnosis says I am not connected.

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