Backstory:
"Met" a girl from my old hometown on FB in Jan '09.
We really hit it off she was very funny and she quickly became very important to me. I had/have virtually no one I would call my friend (another story)for about 15+ years.. But this girl was it...I had no attraction physically to her as she wasn't attractive and my wife is
beautiful. But the OW could cheer me up/make me laugh like no one ever could. I really felt happy again. My wife became aware of my excessive contact with OW in March '09 and asked me to dial it WAAAAY back. I didn't and it began to cause problems.
She tried to become friends with this girl as well to ease her mind, we even went to stay with OW & her husband for a week July '09

Up to this point we had only talked like a M/M or F/F friendship nothing innapropriate (besides hours at a time on the phone with another woman)
During the visit things changed, never kissed her or anything, but started to really want to. Obviously it all went downhill from there. My wife decided she couldn't handle the relationship between me & OW, and said if I didn't stop she would leave me.

OMG now what do I do? I can't lose my wife, but I can't lose my only friend...the one who really understands me after feeling so lonely for so long. So I did nothing, I just hoped it would all work itself out somehow but knew I was probably going to lose both of them in the end but I couldn't act. The relationship became sexual in Oct. '09 as I was trying to figure out if I could be everything with this girl if My wife does leave. (yes, I'm a moron) Well it didn't feel right...it felt like sleeping with your sister or something, but I still couldn't stop talking to her. I loved her in a completely different way than my wife. Still, after repeated threats my wife moved out the end of Nov. '09 after I confessed everything.
I was back and forth the month of December on what to do and who I wanted to be with. Jan 6th '10 I was having a very difficult day with missing my wife. I took a break from work and stopped by her apt to surprise her...she was just out of bed no shower, no makeup but took 1 look at her and knew I couldn't be without her. I stopped all contact with OW the very next day and told my wife so, and that I didn't want to lose her. We went out that night to a comedy club and she was gleaming. She looked at me so lovingly all night, but then surprised me by telling me just to drop her off at her apt. (we had remained sexually active the entire seperation) Then came the struggle over the next month on whether or not she wanted ME back. Then it got worse and then the 1st of march she said she was pretty sure she wanted a divorce. Told her parents what I had done and everything. I was crushed. A month goes by in which I'm literally begging her to give me another chance but she barely will talk to me. Then March 30th she called me 6 times at work, came by to see me and said she wanted to go to the beach and see if we could re-connect. I was ecstatic and booked us a condo and we left the next morning. That began the struggling with her good/bad days/hours in which she'd be okay/happy or mad at me. Her apt lease was to be up in June and she still wasn't convinced on moving back in. After much begging on my part and putting off turning in her notice on her part she turned it in a month late and moved back into our house mid May 2010. It has been a constant struggle with her moods and emotions towards me ever since. If she happens to have a few good days in a row where she treats me good watch out because the sh*tstorm is coming. I think her feelings for me start to come back and then so does her fear. Now 8 months later and she still doesn't know if she wants to move back out or be married to me. Before she moved back in we did the list of emotional NEEDS excercise and sexual fullfillment was #3 on her list and could've been either 1 or 2 on mine. Well since moving back in we've only had sex about once a week and any more that that is mostly out of the question, whereas before all this she would have never told me no. And would have perfectly happy with doing it almost daily. Also I'm wanting it way more now because I'm so clingy and wanting that connection with her. Obviously thats been a big problem. I've been REALLY trying to not approach her for it which is almost impossible, but even when she approaches me it's an obvious struggle for her throughout most of it. Fast forward to Christmas day last week. (We hadn't had sex since the 1st week of December) She's being very sweet to me and seems very happy over the next 3 days when finally like december 28th I approach her for sex before she had to go to work. She said NO and she has no desire to be sexual with me anymore at all. (this is after 3 days of being loving)
I'm obviously crushed by this...she leaves for work and calls 10 minutes later to apologize and says she's just a crazy b*tch. We have sex after work that night she starts crying in the middle of it and says it would just be better if she moved back out. I went to sleep in the other room she comes in an hour later and begs me to come back to bed where she rubs my back and snuggles me 1/2 the night. Then is distant and grouchy again the next morning. This is our life now and neither of us know what to do. I've read this site for awhile now and know it could take 2-5 years to get over this, but it doesn't seem any better than it did in May and our sex life is worse.
I still don't want to lose her but am at a loss on how to proceed.
We started with SAA but she refused to finish it.
We went to marriage counseling from April to the end of October. Where the counselor had us working on Torn Asunder, well she stopped that halfway through as well insisting that both books/workbooks just made everything worse and she'd rather just try to not think about it. She won't do either book, won't go to counseling anymore, refuses to get on any medication or anything.
I'm a much better husband than I've ever been to her and she constantly says she wishes I would have always been this way. She wants to be in love with me again, and wants to be normal, but it seems impossible right now.
I have no idea how to proceed...
P.S.
I know I should just let her come to me for sex but it is an everyday struggle for me as this whole thing seems to have kicked my hormones into overdrive. Plus the fact that I constantly desire that reassurance that we are ok.
P.S.S
She seems to love/miss me when we are apart but very rarely when we are together. It's a very normal occurence for her to be distant or grouchy all morning, but then 10 minutes after leaving calling me and sounding happy.
Help..