A magnetoresistive head including a magnetoresistive element, and two
shield layers sandwiching the magnetoresistive element. The
magnetoresistive element includes an antiferromagnetic layer a pinned
layer in exchange coupling with the antiferromagnetic layer, a free layer
whose magnetization rotates or switches according to a media magnetic
field, and an intermediate layer between the free layer and the pinned
layer. The intermediate layer includes magnetic grains surrounded by an
insulator. The magnetic grains connect the free layer and the pinned
layer by means of a nano contact. The free layer is oversized with
respect to the pinned layer and the intermediate layer which are
distanced from a media side end of the shield layers.