If you are holding her, then it's ok. The reason the APA suggests that babies sleep on their back is simply because if they get into a corner with bumpers (NO BUMPERS IN CRIBS :) or if she rolls onto her face she doesn't have the muscles to lift her head and she can suffocate herself. Congrats on your little girl and hang in there - you will be able to sleep again someday!
Here is one of the campaigns called "Back to Sleep" where you can get a little more info:
http://www.nichd.nih.gov/sids/



