A method, executed by a computer, for tracking hand and finger positions for interfacing with a virtual environment via a head mounted display interfaced with a game console, comprising: transmitting a power signal from the HMD to provide power to a plurality of wearable devices (WD1...5, WD6... 10) worn on a plurality of fingers of a hand of a user wearing the HMD; sequentially transmitting, by the HMD, identifiers (IDs) (ID1...5, ID6... 10) to the plurality of wearable devices, each ID identifying one of the plurality of wearable devices, wherein each of the plurality of wearable devices is caused to activate a corresponding light source (LE1...5, LE6... 10), such that each of the plurality of wearable devices is active for a time slot and each wearable device repeats being active in respective time slots based on the sequentially transmitted IDs; for each transmitted ID: (i) determining a spatial position of at least two optical sensors attached to the HMD; (ii) detecting emitted light from one of the plurality of wearable devices using the at least two optical sensors attached to the HMD for the determined spatial position, the detecting of emitted light being synchronized to the sequentially transmitted IDs; (iii) sending from the HMD to the game console data for the detected emitted light and the determined spatial position to determine a current position of one of the plurality of wearable devices that is associated with a current position of one of the fingers; and (iv) repeating operations (i)-(iii) for each of the sequentially transmitted IDs so as to identify over time moving positions of the wearable devices. transmitting a power signal from the HMD to provide power to a plurality of wearable devices (WD1...5, WD6... 10) worn on a plurality of fingers of a hand of a user wearing the HMD; sequentially transmitting, by the HMD, identifiers (IDs) (ID1...5, ID6... 10) to the plurality of wearable devices, each ID identifying one of the plurality of wearable devices, wherein each of the plurality of wearable devices is caused to activate a corresponding light source (LE1...5, LE6... 10), such that each of the plurality of wearable devices is active for a time slot and each wearable device repeats being active in respective time slots based on the sequentially transmitted IDs; for each transmitted ID: (i) determining a spatial position of at least two optical sensors attached to the HMD; (ii) detecting emitted light from one of the plurality of wearable devices using the at least two optical sensors attached to the HMD for the determined spatial position, the detecting of emitted light being synchronized to the sequentially transmitted IDs; (iii) sending from the HMD to the game console data for the detected emitted light and the determined spatial position to determine a current position of one of the plurality of wearable devices that is associated with a current position of one of the fingers; and (iv) repeating operations (i)-(iii) for each of the sequentially transmitted IDs so as to identify over time moving positions of the wearable devices. (i) determining a spatial position of at least two optical sensors attached to the HMD; (ii) detecting emitted light from one of the plurality of wearable devices using the at least two optical sensors attached to the HMD for the determined spatial position, the detecting of emitted light being synchronized to the sequentially transmitted IDs; (iii) sending from the HMD to the game console data for the detected emitted light and the determined spatial position to determine a current position of one of the plurality of wearable devices that is associated with a current position of one of the fingers; and (iv) repeating operations (i)-(iii) for each of the sequentially transmitted IDs so as to identify over time moving positions of the wearable devices.