A system that remotely measures displacement between two objects. A passive sensor is affixed between the objects. The internal sensor uses magnetic coupling between two sensor elements to measure their relative displacement. The sensors are either a) a permeable rod and a complimentary coil in parallel with a tuning capacitor; or b) two permeable rods, each having its own surrounding coil and a tuning capacitor. One of the sensor elements is affixed to each object which is to be monitored. When an interrogating device is placed near the sensors, a resonance can be measured whose frequency characteristics change in a reproducible manner with the relative displacement of the sensors. The resulting resonance characteristics can be calibrated in such a way as to enable the displacement of the objects to be determined.