As security forces arrived, a Reuters reporter saw four police vehicles carrying dead or wounded security personnel from the scene.
According to sources the victims were mostly police force members who had a mission in the area.
The Islamic State (IS) militant group claimed responsibility through its Amaq news agency, although it provided no evidence to back up the claim.
More details are awaited.
This comes as dozens of people were killed or wounded in a coordianted suicide attack in Kabul city last week.
Among the 18 wounded were 16 officers and two civilians, deputy interior ministry spokesman Nasrat Rahimi told reporters.
The Health Ministry said, as quoted by 1 TV broadcaster, that 15 people were taken to a hospital so far.
At least 10 people were killed in a suicide attack in Afghanistan's capital Kabul on Thursday, a security official said.
According to available information, a suicide bomber blew himself up near a group of policemen. No group has yet claimed that attack.
Attack in Kabul kills at least 11 people and wounds 25 others as ISIL claims responsibility.
The casualties have been confirmed by Kabul Police.
Kabul has suffered repeated suicide attacks in recent weeks.
Despite the increased security measures militants continue to carry out attacks.