A process for manufacturing a random access memory cell, that is capable of storing multiple information states in a single physical bit, is described. The basic structure combines a conventional MTJ with a reference stack that is magnetostatically coupled to the MTJ. The MTJ is read in the usual way but data is written and stored in the reference stack. Through use of two bit lines, the direction of magnetization of the free layer can be changed in small increments each unique direction representing a different information state.