The invention provides a system and a method for wavelength referencing and polarization mitigation. An optical wavelength tunable laser source is swept in a number of contiguous, overlapping sweep segments. A coarse reference wavelength section produces a reference signal that defines at least one absolute wavelength within a sweep segment. A fine wavelength reference section produces a periodic wavelength reference signal that defines a plurality of equidistant wavelengths within each sweep segment with an indeterminate offset relative to the absolute wavelength(s) of the coarse reference wavelength section. The free spectral range of the fine wavelength reference section is smaller than the spacing between subsequent absolute reference wavelengths of the coarse reference wavelength section. This arrangement allows reducing the minimum required overlap between contiguous sweep segments.