@kvhrao: You can use suggest as well, its quite simple.
// php part
wp_enqueue_script( 'jquery' );
wp_enqueue_script( 'suggest' );
// javascript part
$('#suggest').suggest("/path/to/suggestions",{
onSelect: function() {
alert("You selected: " + this.value );
}
});
// html part
<input type="text" id="suggest" name="keyword" />
