Two Palestinians said by Israeli military to be members of Islamic Jihad were killed on Monday evening in Gaza only hours before negotiators in Egypt announced a truce.
After the worst out break in cross border violence in months, officials in Cairo claimed both militant factions in Gaza and Israel had agreed to stop their current operations.
Since Friday 25 Palestinians have been killed and over 80 others mostly civilians have also been wounded.
The fighting flared after Israel killed a senior militant it accused of plotting a terrorist attack.
Eight Israelis have been injured by some of the 240 rockets the Israeli Defence Force claims have been fired across the border into southern Israel.
The barrage of missiles paralysed much of life in the area forcing schools to close and hundreds of thousands to remain in doors.