Can multitouch events be tested on Android Emulator ? Or is there any way to test this without actual device ? I am using 2.0 sdk and want to test zoom-in zoom-out on by two fingers.
Is there a way out ?

The only way I can think of this is if you have a multi-touch display on you PC. The one more mainstream example is the HP TouchSmart PCs. But then I do not know if the emulator, which is Java base has support for this feature yet. Java may not support multi touch. I am not sure how multi touch exist on linux though.

You could have maybe used android.test.TouchUtils to simulate it but I can't seem to find a way to simulate multi touch , but check it out for your self android.test.TouchUtils.