Combine first 5 ingredients in a medium bowl; stir well. Measure 1 cup apricot mixture, and set aside.
Dip chicken pieces in remaining apricot mixture; dredge in crushed pretzels. Place on 2 large baking sheets. Bake at 400° for 15 minutes or until chicken is done.
Combine reserved 1 cup apricot mixture and 1 cup water in a medium saucepan. Bring to a boil; reduce heat, and simmer 3 minutes. Combine cornstarch and 2 tablespoons water; stir well. Add to hot apricot mixture. Cook, stirring constantly, until mixture is thickened. Serve sauce with chicken nuggets.