Many evidences of genetic processes in soils could be found by viewing soil thin sections with polarized microscope. An Ultisol profile was collected from montane forest of central Taiwan to study their microfabrics associated with the movement of clay and the micromorphological characteristics of iron nodule. The observation of polarized microscopy, the thin sections of soil samples with fine texture in all argillic horizons indicate significantly striated b-fabrics attributed to strongly illuviation of clay. These b-fabrics tend to show grano-striations when iron nodule increased in the matrix. The orientation of clay plasma is directly related to water flow. Iron segregations in the soil pedon are not only influenced by eluviation, illuviation, and water flow to form ferrans, but also influenced by alternative oxidation and reduction cycles to form iron nodules.