Thank you very much for the detailed directions. May I know if it's possible to cover everything by early evening?

I intend to try Okaru for Okonomiyaki (heard it's highly recommended in Nara). Is there any food street/market that is similar to Kyoto's Nishiki Market? Would like to try other Nara specialities.

Everything I said above can be covered in a day. Depends on your pace of walking, you may want to add a place like Wakakusa Hill. But if you walk on the trail through Pristine Woods en-route then will take more time than perhaps wanted. So I'd suggest taking the normal hill-route should you do it.

Okaru is a mom-and-pop-run DIY place. FYI, there's two nearyby: one on Sanjo Street, the other on the alley connecting Higashimuki and Sakura Street, both running parallel to Sanjo Street. You'll spot a plethora of eateries around here, so walk around and pick your choice, the reason being DYI-okonomiyali takes a little getting used to, fun though....

There's no counterpart to Nishiki Market, no not that I know of around here. Specialties like Nara-zuke pickles, great-buddha puddings, and yokan- or monaka-type sweets can be had of course. Not sure if you like to have these, yet chagayu porridge (lava-hot) , persimmon-leaf mackerel sushi (moreish) and milky shabu-shabu (weird?) are also what Nara is know for.

On Sanjo Street, there is a nice traditional beans sweets/snacks shop Zeitaku Mame. Nothing very special, but it's my favorite.

http://translate.google.co.jp/translate?hl=ja&sl=ja&tl=en&u=http%3A%2F%2Ftabelog.com%2Fnara%2FA2901%2FA290101%2F29001702%2F

As mentioned, Nara's speciality is Narazuke and Persimmon-leaf sushi. Narazuke is Uri (oriental pickling melon, tastes more like cucumber) pickled in Sake lees. It's slightly alcoholic, and goes great with rice.

Persimmon leaves sushi (authentically with mackerel but there are ones with salmon and unagi eel as well):

http://store.shopping.yahoo.co.jp/sakura-story/sakura-story-kz03.html

There are other food specialties of Nara Prefecture, like Somen plain fine noodles of Miwa and Kuzukiri jelly of Yoshino.

I think some person in this forum has recommended strongly Yuzu-shu (sake liquor with Japanese Yuzu lime) produced by a brewery in Nara Prefecture, too.

http://www1.ocn.ne.jp/~s.tomita/umenoyado3.html

Kamameshi (rice cooked in an iron pot with vegetables and seafood etc) is not unique to Nara, but this place in Nara is quite good.

http://www.kamameshi-shizuka.jp/eng.html

Kuzu jelly: http://www.youtube.com/watch?v=Ts9MBsrYoBw

Somen: http://www.youtube.com/watch?v=LWIDBp2RIOE

http://en.wikipedia.org/wiki/S%C5%8Dmen

http://kaukautime.blogspot.jp/2011/05/cold-somen-salad-recipe.html

Thank you for all the recommendations. Will make a note and keep a lookout for them when I'm there :] Persimmon leaves sushi looks good

Don't forget to taste a sweet yomogi mochi at Nakatani-Do. It's so much fun to watch the guys make mochi:

http://www.youtube.com/watch?v=GFP-6yTSb6Q

The shop is located at the corner of Sanjo Dori and Mochiidono Arcade (across the street from the end of Higashimuki.)

The shop referred to by Shibuyakko is quite famous. It always goes on TV.

Another thing you must eat in Nara is the croquette from Okanishi Meat Shop:

http://tabelog.com/nara/A2901/A290101/29001518/

There are two shops; One is located at the end of Mochiidono Arcade and the other is about 100m west of JR Nara Station on Sanjo Dori. They have the best croquettes!

Have looked forward to nara the most but have put it off until tmr which is my last day in Osaka due to the rain. Is it still worth going if its going to rain the whole day? I really hope to see deers