We report our first microlensing candidate NMS-E1 towards M31 from the data
accumulated during the four years of Nainital Microlensing Survey. Cousin R and
I band observations of ~13'x13' field in the direction of M31 have been carried
out since 1998 and data is analysed using the pixel technique proposed by the
AGAPE collaboration. NMS-E1 lies in the disk of M31 at \alpha = 0:43:33.3 and
\delta = +41:06:44, about 15.5 arcmin to the South-East direction of the center
of M31. The degenerate Paczy\'{n}ski fit gives a half intensity duration of ~59
days. The photometric analysis of the candidate shows that it reached R~20.1
mag at the time of maximum brightness and the colour of the source star was
estimated to be (R-I)_0 ~ 1.1 mag. The microlensing candidate is blended by red
variable stars; consequently the light curves do not strictly follow the
characteristic Paczy\'{n}ski shape and achromatic nature. However its long
period monitoring and similar behaviour in R and I bands supports its
microlensing nature.Comment: no changes except typos corrected, to appear in A&