An interactive system for guiding the use of a surgical tool uses at least one imaging technique, such as CT scanning. A mechanical arm has a fixed base at a first end and a tool holder that holds the surgical tool at a second end. A display displays one or more images from the image space of a patient's anatomy. A computer is coupled to the display and the mechanical arm. The computer tracks the location of the surgical tool through physical space, performs a transforming rotation of the physical space to the image space, and causes the display to display the location of the surgical tool within the image space.