This paper proposes a method of examining the micro-events of the analytic process that borrows heavily from developmental research. The increasing importance of illuminating the microprocess of interaction to understanding the process of change in analytic treatment is emphasised. A set of constructs and terminology is proposed for the study of the moment-to-moment interactive process in psychoanalytic therapy referred to as the local level. A theory of therapeutic action based on ‘local-level’ process is then explicated. Its central element involves a step-by-step process of ‘fitting together’, which leads to changes in implicit knowing through alteration of emotional procedures.