A position sensing system including a flexible tether and at least one sensor at least partially embedded within a portion of the flexible tether is disclosed. The sensor may be adapted to detect a sensor position factor. The system also includes a communication device adapted to transmit the sensor position factor from the sensor, and a signal processor adapted to receive the sensor position factor. The signal processor is also adapted to calculate at least one of the shape or orientation of the flexible tether from the sensor position factor. The sensor position factor may be relative orientation, relative depth, relative pressure, presence of a magnetic field, presence of an electric field, acceleration, or relative rate of rotation. The system may also include a probe connected to the flexible tether, and the signal processor may calculate the orientation of the probe from the sensor position factor.