Yes, you can make a backup through Clockwork Recovery. Titanium Backup is an app that allows you to do several things with all of your current apps. You can back them up in several different ways, freeze them, and stuff like that.
I myself don't use it, whenever I wipe and have to reinstall my apps I just allow the Market to do it itself. Others like to use it though. Like most things, it's personal preference.
does titanium backup save the app data too? for instance when i did a factory reset on my phone and the marked loaded all my apps back onto it, it didnt load the data (for instance i had to start from scratch in angry birds)..would titanium backup save these kinds of things?