Police and the Army were called to examine a suspicious vehicle in the Ballycolman estate last night.
Police said two controlled explosions were carried out at the scene but the alert has now ended after nothing untoward was discovered.
The alert began at around 11pm and the security forces remained at the scene for several hours.
Meanwhile, Paint bombs were thrown at officers at the scene. No-one was injured.
Local Cllr Patsy Kelly has condemned the incident: