Can I get notification when event occur? SQL Servers has Traces and XEvents. These are used to capture and analyze what is going on with our SQL Server Instances. Events are stored in the stack for later analysis. For example, 
If I decide to monitor any dead lock in the database, I just query the trace file to see the history of deadlock for a period of time. Here is my question:

While events occur, in our example deadlock event, is there a way to get an email notification using msdb.dbo.xp_send_dbmail?
Yes you can do that using Event Notification for deadlocks / blocking / create database / drop database, and many more events as outlined here.

Below is the script that will help you with Deadlock detection and email in real time :

It will create an alert as well as a TSQL Job to fire with all the details emailed to DBA team. look for change Here to replace required stuff.

use dba_db ---- change HERE use find and replace as per your database name !!
go
/********************************************************************
Job Name    :   Monitoring - Deadlock Detector  
Created by  :   Kin for dba.stackexchange.com
Version     :   V1.0
Funtionality:   1. Real time Deadlock detection using WMI
                2. Send email out when deadlock occurs along with 
                   Deadlock Graph attached.
                3. Logs all the deadlocks in a central Table
                   dba_db.dbo.Deadlock
                4. Does not require trace flags 1204 and 1222 enabled
*********************************************************************/
IF EXISTS (SELECT * FROM dbo.sysobjects WHERE id = OBJECT_ID(N'[dbo].[Deadlock]') AND OBJECTPROPERTY(id, N'IsUserTable') = 1)
Print ' *** Table Deadlock Table Already Exists... moving Further *** '
ELSE
create table Deadlock
(
RecordId int identity (1,1) primary key not null,
AlertTime datetime not null,
DeadlockGraph xml,
Notified int not null constraint [DF_deadlock_flag] default (0)
)
go
create index deadlock_idx on Deadlock  (AlertTime) with fillfactor = 100 
go
USE [msdb]
GO
-- No need to enable deadlock trace flags
--dbcc traceon (1204,1222,-1)
--go
-- enable replace runtime tokens for sql agent to respond to WMI alets
USE [msdb]
GO
EXEC msdb.dbo.sp_set_sqlagent_properties @alert_replace_runtime_tokens=1
GO
-- create the job 
USE [msdb]
GO

BEGIN TRANSACTION
DECLARE @ReturnCode INT
SELECT @ReturnCode = 0

IF NOT EXISTS (SELECT name FROM msdb.dbo.syscategories WHERE name=N'[Uncategorized (Local)]' AND category_class=1)
BEGIN
EXEC @ReturnCode = msdb.dbo.sp_add_category @class=N'JOB', @type=N'LOCAL', @name=N'[Uncategorized (Local)]'
IF (@@ERROR &lt;&gt; 0 OR @ReturnCode &lt;&gt; 0) GOTO QuitWithRollback

END

DECLARE @jobId BINARY(16)
EXEC @ReturnCode =  msdb.dbo.sp_add_job @job_name=N'Monitoring - Deadlock Detector', 
        @enabled=1, 
        @notify_level_eventlog=0, 
        @notify_level_email=0, 
        @notify_level_netsend=0, 
        @notify_level_page=0, 
        @delete_level=0, 
        @description=N'Job Name :   Monitoring - Deadlock Detector  
Created by  :   Kin for dba.stackexchange.com
Version     :   V1.0
Funtionality:   1. Real time Deadlock detection using WMI
                2. Send email out when deadlock occurs along with 
                   Deadlock Graph attached.
                3. Logs all the deadlocks in a central Table
                   dba_db.dbo.Deadlock
                4. Does not require trace flags 1204 and 1222 enabled', 
        @category_name=N'[Uncategorized (Local)]', 
        @owner_login_name=N'sa', @job_id = @jobId OUTPUT
IF (@@ERROR &lt;&gt; 0 OR @ReturnCode &lt;&gt; 0) GOTO QuitWithRollback

EXEC @ReturnCode = msdb.dbo.sp_add_jobstep @job_id=@jobId, @step_name=N'Insert Deadlock info', 
        @step_id=1, 
        @cmdexec_success_code=0, 
        @on_success_action=3, 
        @on_success_step_id=0, 
        @on_fail_action=2, 
        @on_fail_step_id=0, 
        @retry_attempts=0, 
        @retry_interval=0, 
        @os_run_priority=0, @subsystem=N'TSQL', 
        @command=N'INSERT INTO Deadlock (

AlertTime,

DeadlockGraph

)

VALUES (

GETDATE(),

''$(ESCAPE_NONE(WMI(TextData)))''

)', 
        @database_name=N'dba_db', 
        @flags=0
IF (@@ERROR &lt;&gt; 0 OR @ReturnCode &lt;&gt; 0) GOTO QuitWithRollback
/****** Object:  Step [Send Email with Deadlock Graph]    Script Date: 10/01/2010 12:01:45 ******/
EXEC @ReturnCode = msdb.dbo.sp_add_jobstep @job_id=@jobId, @step_name=N'Send Email with Deadlock Graph', 
        @step_id=2, 
        @cmdexec_success_code=0, 
        @on_success_action=1, 
        @on_success_step_id=0, 
        @on_fail_action=2, 
        @on_fail_step_id=0, 
        @retry_attempts=0, 
        @retry_interval=0, 
        @os_run_priority=0, @subsystem=N'TSQL', 
        @command=N'if exists (select 1 from dba_db.dbo.Deadlock where notified = 0 )
begin
declare @tableHTML nvarchar(max)
set @tableHTML =N''&lt;H3&gt;&lt;FONT SIZE="3" FACE="Tahoma"&gt;Deadlock Has occured on ''+@@servername+'' .. Please Investigate Immediately &lt;/FONT&gt;&lt;/H3&gt;''
set @tableHTML = @tableHTML+ N''&lt;table border="1"&gt;'' +
           N''&lt;FONT SIZE="2" FACE="Calibri"&gt;'' +            
            N''&lt;tr&gt;&lt;th align="center"&gt;RecordId&lt;/th&gt;'' +
            N''&lt;th align="center"&gt;AlertTime&lt;/th&gt;'' +
            N''&lt;th align="center"&gt;DeadlockGraph&lt;/th&gt;'' +

            N''&lt;/tr&gt;'' +
           ISNULL(CAST ( ( 
                            select  td = '''',
                                    td = RecordId,'''',
                                    td = AlertTime,'''',
                                    td = DeadlockGraph,''''

                     from dba_db.dbo.Deadlock where notified = 0

    FOR XML PATH(''tr''), TYPE 

            ) AS NVARCHAR(MAX) ),'''') +
            N''&lt;/FONT&gt;'' +
            N''&lt;/table&gt;'' ;
-- bcp out as .xdl file. This is the deadlock graph that will be emailed. Note that it will be overwritten everytime !!
exec master..xp_cmdshell ''BCP.exe "SELECT  [Deadlockgraph].query(''''/TextData/deadlock-list'''') FROM dba_db.dbo.Deadlock where Notified = 0" queryout "d:\logs\deadlock.xdl" -c -q -T -Slocalhost''; ---- change localhost ..with the servername\instance or servername !!
-- send email out with the graph attached 
declare @subject1 varchar(50)
set @subject1 = ''Deadlock Has Occured on ''+@@servername
EXEC msdb.dbo.sp_send_dbmail 
            @profile_name = ''DBMAIL PROFILE'',             ---- change HERE db mail profile !!
            @recipients=''DBAcompanyGroup@companyName.com'', ---- change HERE  email group!!
            @subject = @subject1,
            @body = @tableHTML,
            @body_format = ''HTML'', 
            @file_attachments = ''D:\logs\Deadlock.xdl''; ---- change HERE  deadlock graph location!!
end
go
-- update the Deadlock table so that when the job runs it wont send out previous alert
update dba_db.dbo.Deadlock
set Notified = 1 where notified = 0
--SELECT * FROM dba_db.dbo.Deadlock', 
        @database_name=N'dba_db', 
        @flags=0
IF (@@ERROR &lt;&gt; 0 OR @ReturnCode &lt;&gt; 0) GOTO QuitWithRollback
EXEC @ReturnCode = msdb.dbo.sp_update_job @job_id = @jobId, @start_step_id = 1
IF (@@ERROR &lt;&gt; 0 OR @ReturnCode &lt;&gt; 0) GOTO QuitWithRollback
EXEC @ReturnCode = msdb.dbo.sp_add_jobserver @job_id = @jobId, @server_name = N'(local)'
IF (@@ERROR &lt;&gt; 0 OR @ReturnCode &lt;&gt; 0) GOTO QuitWithRollback
COMMIT TRANSACTION
GOTO EndSave
QuitWithRollback:
    IF (@@TRANCOUNT &gt; 0) ROLLBACK TRANSACTION
EndSave:

-- create an WMI alert to respond to deadlocks
IF EXISTS (SELECT name FROM msdb.dbo.sysalerts WHERE name = N'Respond to Deadlock')
EXEC msdb.dbo.sp_delete_alert @name=N'Respond to Deadlock'
GO
DECLARE @server_namespace varchar(255)
IF ISNULL(CHARINDEX('\', @@SERVERNAME), 0) &gt; 0
SET @server_namespace = N'\\.\root\Microsoft\SqlServer\ServerEvents\' + SUBSTRING(@@SERVERNAME, ISNULL(CHARINDEX('\', @@SERVERNAME), 0) + 1, LEN(@@SERVERNAME) - ISNULL(CHARINDEX('/', @@SERVERNAME), 0))
ELSE
SET @server_namespace = N'\\.\root\Microsoft\SqlServer\ServerEvents\MSSQLSERVER'
EXEC msdb.dbo.sp_add_alert @name=N'Respond to Deadlock',
@wmi_namespace=@server_namespace,
@wmi_query=N'SELECT * FROM DEADLOCK_GRAPH',
@job_name='Monitoring - Deadlock Detector' ;
GO