Current tracking techniques use computers to process the output of a target image. Although accuracy can reach 1/32 of a pixel, the response time is limited by the frame rate, and it requires a dedicated computer. This project will develop a tracking technique that can operate without a dedicated computer, and its frequency response is not limited by the frame rate. The tracker design is electro-optical, which contains very few or no moving parts. This should improve tracking accuracy and frequency response over present image tracking techniques. This precision tracker uses the moire pattern of the projection of one grating upon another grating, which has the beam lined up with the light emanating from the target image. A moire pattern is produced when two similar patterns of lines are superimposed. The precision tracker can reduce the requirements on the tracking lens aperture and focal length. It also allows the use of a smaller dedicated computer. It can be applied to discriminate between targets and decoys, as well as separate multiple targets. The tracker could serve in instrumentation that could precisely measure the velocity of aircraft at take-off or during flight.