The encounter had started at Hadigam area of the south Kashmir district during the night, the police said.
A youth was killed in alleged Central Reserve Police Force firing in Kulgam district of Kashmir during protests against Israeli aggression in Gaza Strip on Saturday.
The gun-battle between militants and security forces in Kulgam district of South Kashmir intensified on Saturday morning. The exchange of fire between the two sides began on Friday evening.The firefight broke out in Rampora-Qaimoh village, 80 kms from Srinagar, when the police, assisted by security forces, cordoned the village. They were acting on specific information that three to four militants were hiding in a house in the village.
Police fired warning shots and lobbed teargas shells to disperse stone-pelting protestors during two-hour curfew relaxation in old Anantnag town on Saturday morning even as authorities imposed curfew in two more areas of Trehgam and Kupwara towns after agitation by locals.
The encounter broke out after terrorists hiding in a house opened indiscriminate fire on a joint search party of police and security forces at Khodwani, 70 km from Srinagar, police said.
The death of their colleague due to illness had angered the jawans.
The alarming incident occurred during the funeral of Fayaz Ahmed alias Setha, a resident of Qaimoh area of Kulgam, who was killed in retaliation on Saturday after terrorists had fired upon a police party which had gone to Mir Bazaar area to investigate a road accident.
The encounter began in the afternoon at a village in Kulgam as Jammu and Kashmir Police, along with the Central Reserve Police Force and the army, were carrying out operations to clear a national highway ahead of the Amarnath Yatra, beginning June 28, a senior police official said.
The police officer said the main aim of the module was to target security forces during the elections and they had even made a failed attempt in Bijbehara area of Anantnag on March 19.