A sensor arrangement for position sensing comprises a magnetic field source and a magnetoresistive element arranged in a magnetic field generated by the magnetic field source, which magnetoresistive element provides an output signal (R) dependent on a position (x) of the magnetoresistive element relative to the magnetic field source. A feedback controller is configured to receive the output signal (R) of the magnetoresistive element and is configured to adjust one or more of the position (x) of the magnetoresistive element relative to the magnetic field source and a strength of the magnetic field generated by the magnetic field source acting on the magnetoresistive element dependent on the output signal (R) of the magnetoresistive element.