Hi Suresh
This is normally due the base line is increasing on that electrode, and when you touch it the capacitance change is not enough to create a delta with the base line.
1) Why does the Signal Generation stop only for one key from the µc,
Normally this is due a noise on the electrode.
2)Are there ways to recognise such a condition in TSS and re initialize the TSS module.
By TSS you mean the TSS library, if this is the case yes you can use the autocalibration to avoid this condition, if you are not using the TSS library you can disable the TSI module and re enable in order to perform a recalibration, but I do not know if this is posible for your aplication.
Also you can test with different values on NSCN or change the values on EXTCHRG on TSIx_GENCS
I hope this will help you.
Regards
Vicente Gomez