1. A system for imaging a coding pattern disposed on a surface of a substrate, said system comprising: (A) said substrate, wherein said coding pattern comprises: a plurality of target elements defining a target grid, said target grid comprising a plurality of cells, wherein neighboring cells share target elements; a plurality of data elements contained in each cell; and a plurality of tags, each tag being defined by a plurality of contiguous cells, each tag comprising respective local tag data encoded by a respective set of said data elements, each tag comprising at least 9 target elements; (B) an optical reader comprising: an image sensor for capturing an image of a portion of said coding pattern, said image sensor having a field-of-view of at least one tag diameter and less than two tag diameters; a nib; and a processor configured for performing the steps of: (i) locating at least 9 target elements in said field-of-view; (ii) observing a perspective distortion of said target elements due to a 3D orientation of said reader relative to said surface; (iii) calculating a 2D perspective transform using said target elements; and (iv) determining a position of said nib on said surface using at least said 2D perspective transform and said local tag data.