I recently got a new ASUS RT-N10 LX wireless router. I set it up using a wired client. After setting up the router (SSID, authentication, etc.), I got rid of the wired client and I was able to connect to the router wireless. Everything worked fine.
EDIT: But if I restart my wireless client (laptop), I am able to connect to the router wireless but without internet access. I need to reboot the router to get internet to work on the wireless client. Moreover, I forgot to mention earlier that I am behind a proxy. Does it have anything to do with this problem?
Following is the router's log:
Jul 19 11:22:12 klogd started: BusyBox v1.13.4 (2011-07-19 11:18:35 CST)
Jul 19 11:22:12 RTL8192C/RTL8188C driver version 1.4 (2011-03-21)
Jul 19 11:22:16 UPnP: start_UPnP
Jul 19 19:22:19 wlan0: A wireless client is associated - B8:8D:12:07:62:6C
Jul 19 19:22:19 wlan0: WPA-TKIP PSK authentication in progress...
Jul 19 19:22:19 wlan0: A wireless client is associated - B8:8D:12:07:62:6C
Jul 19 19:22:19 wlan0: Open and authenticated
Jan 3 23:23:02 wlan0: A wireless client is associated - B8:8D:12:07:62:6C
Jan 3 23:23:02 wlan0: WPA-TKIP PSK authentication in progress...
Jan 3 23:23:02 wlan0: A wireless client is associated - B8:8D:12:07:62:6C
Jan 3 23:23:02 wlan0: Open and authenticated
Jan 3 23:23:03 wlan0: A wireless client is disassociated - B8:8D:12:07:62:6C
Jan 3 23:33:49 wlan0: A wireless client is associated - 70:F3:95:B4:D2:62
Jan 3 23:33:49 wlan0: WPA-TKIP PSK authentication in progress...
Jan 3 23:33:49 wlan0: A wireless client is associated - 70:F3:95:B4:D2:62
Jan 3 23:33:49 wlan0: Open and authenticated
Jan 3 23:34:04 wlan0: A wireless client is associated - B8:8D:12:07:62:6C
Jan 3 23:34:04 wlan0: WPA-TKIP PSK authentication in progress...
Jan 3 23:34:04 wlan0: A wireless client is associated - B8:8D:12:07:62:6C
Jan 3 23:34:04 wlan0: Open and authenticated
Jan 3 23:40:36 wlan0: A wireless client is disassociated - B8:8D:12:07:62:6C
Jan 4 00:33:54 wlan0: A wireless client is deauthenticated - AC:72:89:4D:FE:31
Jan 4 00:38:23 wlan0: A wireless client is deauthenticated - AC:72:89:4E:0A:34
Jan 4 00:38:59 wlan0: A wireless client is associated - B8:8D:12:07:62:6C
Jan 4 00:38:59 wlan0: WPA-TKIP PSK authentication in progress...
Jan 4 00:38:59 wlan0: A wireless client is associated - B8:8D:12:07:62:6C
Jan 4 00:38:59 wlan0: Open and authenticated
EDIT - 2: Renewing the DHCP lease, doesn't seem to work for me. My computer doesn't get a new IP on renewal. Infact after DHCP lease renewal, the computer is not even able to connect to the router wireless.