I'm pretty sure Valor isn't based on a true story. Usually, if it were, there would be clear indications or it would be widely publicized as such. But in this case, it appears to be purely fictional.
Act of Valor takes inspiration from true events and incorporates elements of real-life military operations. However, some artistic liberties may have been taken for cinematic purposes.
The 'Act of Valor Novel' could be about many things related to valor. It might explore the psychological and physical aspects of being in a situation where one has to show great courage. It could also look at the impact of these acts of valor on the individuals themselves, their families, and society as a whole. Maybe it tells the story of a war hero who overcomes numerous obstacles and personal demons to perform heroic acts on the battlefield, and then how that hero has to adjust to civilian life after the war.
Definitely. The movie incorporates elements from actual military experiences to create a compelling narrative. However, it might have taken some creative liberties for cinematic purposes while staying true to the core of the real events.