I agree that the rifle was probably made in the 1952-1954 period. I can’t prove it, but have a hunch those small adjuster screws could have been leftover pre-war parts; at any rate the small screws and smooth-faced trigger pre-date the later styles.
That model was usually sold as the “Model 50/b.” it combined the same stock used on the basic sporter 50 with that marvelous two-function sight. Without the peep attachment, it was sold as the “Model 50/a,” and later the target action was sold in a heavier stock as the “Model 50M.”
That is a FANTASTIC example, by the way, those old model 50’s are seldom seen in such condition. Those guns are highly sought after in Germany; I recently saw a slightly later 50/b (similar to the one in my old post you quoted), but in lesser condition, sell for almost 800 Euros on the “eGun” auction site.
That rear sight appeared in several minor variations. Some had finger-knob windage adjustment like yours, while others had a square-head bolt that required use of a special tool; some had 10 clicks per revolution of the elevation wheel, and others had 20. Note that the little “stair step” engraving on the side of the sight base, serves as a visual indicator of how many times you have rotated the wheel.
Diana appeared to begin date-stamping their rifles around 1962 or ‘63.
More good info on these rifles here:
https://forum.vintageairgunsgallery....iana-model-50/