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Yes P2.6  n P2.7 is high when the circuit is powered. As a matter of fact PSEN too is high(4.93 volts) when in run mode.

i checked the power supply...its working fine...
didnt try chucking the reset ckt...
oscillator is working fine

ISP conditions met...(PSEN pulled to GND,Vpp=5V,ALE=NC)

RS232 link is good.. i tried shorting rx n tx, n characters do echo back.

I just got a brand new IC (the second since the first failed for unknown reasons)... so lost boot vector is less probable.

Im having the same old problem of "Unable to connect at specified baud rate"..

I double checked the connections. I tried communicating through the hyper terminal but "u" is also not being echoed.

any ideas as to wat could be wrong ?