The suspected gunman was arrested and the nearby road closed after shots were heard in the Langley Green area of Oldbury on Saturday morning.
Nobody is thought to have been injured in the violence.
The arrested man has since been released on bail.
Vicarage Road was cordoned off between Richmond Hill and Priory Drive throughout Saturday morning while officers searched a house and the nearby street.
Specialist teams were brought in to scour the road, looking under cars and in drains for evidence, while other officers interviewed neighbours who lived nearby.
Community support officers were also at the scene along with forensic specialists and evidence markers were left on the road.
A West Midlands Police spokesman said on Saturday: “We have arrested a man on suspicion of firearms possession after being called to a dispute in Vicarage Road, Oldbury where gunshots were heard just after 4am t
“A property search is currently underway and the 29-year-old remains in custody for questioning as our enquiries continue.”
In an updated statement on Sunday, the force added: "The 29-year-old has been released on police bail while enquiries continue."
It comes two years after armed police were called to the area when shots were fired on nearby Vicarage Street.
Anyone with information is asked to contact police quoting log number 657 of 29/05/2021.