Development and evaluation of segregating derived from diallel cross provides an opportunity to identify potential transgressive segregant in early generation. To assess genetic variability, broad sense heritability and traits varied from, 36 lines of wheat were field tested in RCBD with three replications. The experimental materials include twenty eight F2 population and eight parents. Data showed considerable genetic variation amongst the studied lines, parents, F2 progeniessand parent versus F2 progenies for all the studied traits. Among parents, best lines were Atta-Habib for plant height (95.10cm) and tillers plant-1 (12.30), Janbaz for economic yield per plant (20.93g) and spike length (10.87cm), Khatakwal for 100-grain weight (3.27g). Among F2 progenies, best combinations were Khatakwal × Lalma-13 for plant height (93.96 cm), Janbaz × Pirsabak-05 for tillers plant-1 (12.90), Khatakwal × Tatara-96 for economic yield per plant (28.36 g), Pirsabak-05 × Lalma-13 for spikeletsspike-1 (20.10) and Pirsabak-13×janbaz for 100-grain weight (4.33 g). High broad sense heritability (0.69%) was recorded in cross combinations, Panjab11 × Lalma-13 for Tillers plant-1, Khatakwal × Pirsabak-13 for 100-grain weight (0.89%) and Pirsabak-05 ×Punjab-11 for economic yield per plant (0.99%) whereas genetic advance was recorded maximum for cross combination Tatara-96 × Lalma-13 for 100-gain weight and grain yield-1. Economic yield per plant displayed positive significant varied from with spikelet’s spike-11(r = 0.43**), 100 grain weight (r=0.58**) and spike length (r = 0.62**). The F2 progenies, Pirsabak-05× Lalma-13, Khatakwal × Pirsabak-13, Atta Habib × Pirsabak-05 and Tatara-96 × Punjab-11 were found promising for most of the traits and thus could be recommended for exploitation in future wheat breeding program.