I run a wordpress based blog and i want to show google adsense ads on different locations within my blog posts, and not just limited to only the top or bottom of the posts. Currently my blog theme files allow me to add the codes below the title of the post and below the post’s entry ie content but not within the content because i feel there is a lot more scope and higher CTR because the ads would be more related to my content and would look very neat. Is this possible?

Yes its very well possible to show google adsense ads within the post’s content in random locations using a wordpress plugin.

Wordpress Plugin Name – Adsense Injection

This plugin will help you in randomly showing ads with different formats on different locations of your blog posts. It does not directly show the ads in any location of your article but searches for <br /> ie the Break tag within your posts and ads the adcode below that. The plugin generally makes sure that it does not break up your posts and tries to show below the paragraphs.

This plugin is great if you are looking for using multiple pay per click programs like Google Adsense & Yahoo Publisher Network both on your blog at the same time as it rotates them and you dont end up showing multiple ads at the same time. Check out the following screenshot which shows you that this plugin will offer you with options like Colours, Number of Ads to show at a time, Ad Positioning like Left, Center & Right alignment. You also have a option to hide the ads from certain posts or else from Archive Pages, Category Pages & Home Page and just show it on single pages.

I would also suggest you to randomize ads colours and implement section targetting on your blog to make sure the ads are very much related to your content.