Jailbreak iOS 5.0.1 on iPhone,iPad ,iPod Touch Using Redsn0w

It`s tethered jailbreak so you`ll need to connect your device to the PC every time you reboot. Here`s a full guide to how to jailbreak iOS 5.0.1 on iPhone 4, iPhone 3GS, iPod Touch 4G, 3G:
Step 1: Download the latest version of iTunes (10.5) for Windows or Mac from Here.

Step 2: Connect your iOS device to your PC or Mac

Step 3: Update to software version 5.0.1 Beta; download links of which can be legally found on iOS Dev Center only.

Step 4: Grab the latest version of Redsn0w, depending on your operating system, for Windows or Mac.

Step 5: Start Redsn0w. Click on “Extras”, and then click on “Select IPSW” option to manually select the final public version of iOS 5 (NOT iOS 5.0.1) for your device. Download links for iOS 5 can be found Here.

Step 6: Now go back, and click on “Jailbreak“, and opt to “Install Cydia“. You will then be led through a sequence to place your device into DFU mode. Once your device has achieved DFU mode, Redsn0w will apply the jailbreak.

Booting Tethered:

Step 7: Once the Cydia installation is complete, you will need to boot the device into a tethered state in order for the jailbreak to work – something you will indeed be required to do every time you reboot. Enter DFU mode, and in “Extras“, select “Just Boot“.

We `re still awaiting an untethered jailbreak for iOS 5.