An method and system for laser beam tracking and pointing is based on a conventional position sensing detector (PSD) or quadrant cell but with the use of amplitude-modulated light. A combination of logarithmic automatic gain control, filtering, and synchronous detection offers high angular precision with exceptional dynamic range and sensitivity, while maintaining wide bandwidth. Use of modulated light enables the tracking of multiple beams simultaneously through the use of different modulation frequencies. It also makes the system resistant to interfering light sources such as ambient light. Beam pointing is accomplished by feeding back errors in the measured beam position to a beam steering element, such as a steering mirror. Closed-loop tracking performance is superior to existing methods, especially under conditions of atmospheric scintillation.