A position sensing apparatus and method includes a targeting device with a plurality of infrared transmitters or photodiode receivers attached to the targeting device and with corresponding receivers or transmitters mounted near a display monitor. The transmitters emit light signals that are received by the photodiode receivers. Receiver circuitry converts the light signals into signals representing the distance of the transmitters from the receivers. A processor then calculates the three-dimensional position and vector of the targeting device relative to the display monitor.