AJAX Login Widget++
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Source Code Repository: http://svn.wp-plugins.org/ajax-login-widget/
Description: This plugin provides an XHTML-compliant AJAX login form which can be easily inserted (one line of code) into your WordPress sidebar. The form doubles as lost-password-recovery and registration forms too.
AJAX allows the page to be dynamically updated so that the user does not have to leave the page they were on when they decided to sign in or sign up. This means users do not have to interrupt what they were looking at in order to login! If an error occurs (like the entry of an incorrect password), then the user is alerted with a message box. The only full page refresh which occurs is when the user logs in successfully, though it does not change which page the user is looking at (so as not to interrupt them).
One the user is logged in, the login form is replaced with a “You are logged in as XYZ” message along with links to go to their profile or logout. An administrative user will be presented with the “Site Admin” link instead of a profile link.
The plugin uses the normal WordPress 2.7 authentication process so it can easily be added to your WordPress site as a sidebar widget or by adding a single line of PHP code to your theme.
This plugin extends the former [AJAX Login](http://wordpress.org/extend/plugins/ajax-login/) plugin written by Jonas Einarsson. This version fixes a number of bugs with a previous implementation (incompatibility with the latest WordPress versions) and contributes a cleaner user interface with better and more reliable AJAX functionality (including animated loading icons).