Here's one of the best 1-inch dial indicators for your money:

Mitutoyo 2776S with .0005" graduations (list price $131.00) is $119.00 ... order now Dial indicator model 2776S (formerly model 2776F) with a 1" range, reading in .0005" is, in our opinion, one of the best indicators for your money. It's consistently reliable, accurate and repairable. This indicator has a permissible error of .0005" over its first 2-1/2 revolutions and ±.002" over its one inch range. The indicators we've seen astonishingly keep this tolerance to .0005" over the entire range. The bezel diameter is about 2-1/4". It comes complete with lug back for secure fastening to magnetic stands, granite stands and fixtures. It features a new Mitutoyo innovation: two dovetails are integral with the outside of the metal case to which you can easily clamp any dovetail accessory, including the bezel clamp (included). If you want, the indicator can now be mounted to a stand or fixture directly from the case rather than the back or the stem. Tolerance markers are not included with this model. Made in Japan. Idea: add a magnetic base stand to hold your dial indicator. An ideal combination for the shop and automotive work. Do you need to go deeper than 1"? Use contact point extensions with your dial indicator. These will not increase the amount of travel, but they will extend the reach. See page 133. Often times, you will want to manually lift the spindle. You have options. At the top of the spindle you will find a knurled knob which can easily be pulled upward, so that the spindle lifts. There are two other options: a lifting lever can be installed at the top of the indicator or at the bottom. For bottom lifting, take a look at page 237. A lifting lever can be installed at the top by snapping it onto the dovetail which you will find on either side of the indicator. (Installation hint: slide the prongs directly underneath the knurled knob before snapping the lever onto the dovetail.) 
Then, using your thumb or fingers, lifting the spindle is easily accomplished. Mitutoyo models 2776S, 2416S-10 or 2904S shown on this page will use lifting lever 21AZB151. - Spindle lifting lever 21AZB151 ... $13.60 order now

- Mitutoyo model 2416S-10 is the same as described above but with .001" graduations. This photo shows the bezel clamp installed (bezel clamp is included).
List $130 ... Sale $119 order now

Mitutoyo 2904S with .001" graduations and 1" travel but reverse dial reading, which makes this ideal for depth measurement. In other words, the dial reads correctly when the spindle (the plunger) comes out of the indicator. (On standard indicators, the readings are correct when the plunger is pushed up into the indicator.) Other specs are similar to the model shown at the top of this page. - Mitutoyo 2904S (list price $114.00) is available for $99.00 ... order now
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