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.