diff --git a/src/popover/docs/demo.html b/src/popover/docs/demo.html
index 2a9bdfb1b4..ffde3bc007 100644
--- a/src/popover/docs/demo.html
+++ b/src/popover/docs/demo.html
@@ -13,6 +13,7 @@ <h4>Positional</h4>
       <button popover-placement="left" popover="On the Left!" class="btn">Left</button>
       <button popover-placement="right" popover="On the Right!" class="btn">Right</button>
       <button popover-placement="bottom" popover="On the Bottom!" class="btn">Bottom</button>
+      <button popover-placement="mouse" popover="relative to mouse" class="btn">Mouse</button>
     </div>
     <div>
       <h4>Triggers</h4>
diff --git a/src/popover/docs/readme.md b/src/popover/docs/readme.md
index e94651ccb3..083610ac27 100644
--- a/src/popover/docs/readme.md
+++ b/src/popover/docs/readme.md
@@ -9,7 +9,7 @@ will display:
 
 - `popover-title`: A string to display as a fancy title.
 - `popover-placement`: Where to place it? Defaults to "top", but also accepts
-  "bottom", "left", or "right".
+  "bottom", "left", "right", or "mouse".
 - `popover-animation`: Should it fade in and out? Defaults to "true".
 - `popover-popup-delay`: For how long should the user have to have the mouse
   over the element before the popover shows (in milliseconds)? Defaults to 0.
diff --git a/src/position/position.js b/src/position/position.js
index d5200a4076..bfda14711b 100644
--- a/src/position/position.js
+++ b/src/position/position.js
@@ -8,6 +8,13 @@ angular.module('ui.bootstrap.position', [])
  */
   .factory('$position', ['$document', '$window', function ($document, $window) {
 
+    var mouseX, mouseY;
+
+    $document.bind('mousemove', function mouseMoved(event) {
+      mouseX = event.pageX;
+      mouseY = event.pageY;
+    });
+
     function getStyle(el, cssprop) {
       if (el.currentStyle) { //IE
         return el.currentStyle[cssprop];
@@ -74,6 +81,13 @@ angular.module('ui.bootstrap.position', [])
           top: boundingClientRect.top + ($window.pageYOffset || $document[0].body.scrollTop),
           left: boundingClientRect.left + ($window.pageXOffset || $document[0].body.scrollLeft)
         };
+      },
+
+      /**
+       * Provides the coordinates of the mouse
+       */
+      mouse: function () {
+        return {x: mouseX, y: mouseY};
       }
     };
   }]);
diff --git a/src/tooltip/docs/demo.html b/src/tooltip/docs/demo.html
index 40c8a3c110..8518881e85 100644
--- a/src/tooltip/docs/demo.html
+++ b/src/tooltip/docs/demo.html
@@ -12,6 +12,8 @@
       nunc sed velit dignissim sodales ut eu sem integer vitae. Turpis egestas 
       <a><span tooltip-placement="bottom" tooltip="On the Bottom!">bottom</span></a> 
       pharetra convallis posuere morbi leo urna, 
+      <a><span tooltip-placement="mouse" tooltip="relative to mouse">mouse</span></a> 
+      blah blah blah, 
       <a><span tooltip-animation="false" tooltip="I don't fade. :-(">fading</span></a> 
       at elementum eu, facilisis sed odio morbi quis commodo odio. In cursus
       <a><span tooltip-popup-delay='1000' tooltip='appears with delay'>delayed</span></a> turpis massa tincidunt dui ut.
diff --git a/src/tooltip/docs/readme.md b/src/tooltip/docs/readme.md
index 5ecb79563d..692216bab9 100644
--- a/src/tooltip/docs/readme.md
+++ b/src/tooltip/docs/readme.md
@@ -11,7 +11,7 @@ The tooltip directives provide several optional attributes to control how they
 will display:
 
 - `tooltip-placement`: Where to place it? Defaults to "top", but also accepts
-  "bottom", "left", or "right".
+  "bottom", "left", "right", or "mouse".
 - `tooltip-animation`: Should it fade in and out? Defaults to "true".
 - `tooltip-popup-delay`: For how long should the user have to have the mouse
   over the element before the tooltip shows (in milliseconds)? Defaults to 0.
diff --git a/src/tooltip/tooltip.js b/src/tooltip/tooltip.js
index beda193a73..b236d6c6a0 100644
--- a/src/tooltip/tooltip.js
+++ b/src/tooltip/tooltip.js
@@ -180,32 +180,42 @@ angular.module( 'ui.bootstrap.tooltip', [ 'ui.bootstrap.position' ] )
             // Calculate the tooltip's top and left coordinates to center it with
             // this directive.
             switch ( scope.tt_placement ) {
+              case 'mouse':
+                var mousePos = $position.mouse();
+                ttPosition = {
+                  top: mousePos.y,
+                  left: mousePos.x
+                };
+                break;
               case 'right':
                 ttPosition = {
-                  top: (position.top + position.height / 2 - ttHeight / 2) + 'px',
-                  left: (position.left + position.width) + 'px'
+                  top: position.top + position.height / 2 - ttHeight / 2,
+                  left: position.left + position.width
                 };
                 break;
               case 'bottom':
                 ttPosition = {
-                  top: (position.top + position.height) + 'px',
-                  left: (position.left + position.width / 2 - ttWidth / 2) + 'px'
+                  top: position.top + position.height,
+                  left: position.left + position.width / 2 - ttWidth / 2
                 };
                 break;
               case 'left':
                 ttPosition = {
-                  top: (position.top + position.height / 2 - ttHeight / 2) + 'px',
-                  left: (position.left - ttWidth) + 'px'
+                  top: position.top + position.height / 2 - ttHeight / 2,
+                  left: position.left - ttWidth
                 };
                 break;
               default:
                 ttPosition = {
-                  top: (position.top - ttHeight) + 'px',
-                  left: (position.left + position.width / 2 - ttWidth / 2) + 'px'
+                  top: position.top - ttHeight,
+                  left: position.left + position.width / 2 - ttWidth / 2
                 };
                 break;
             }
-            
+
+            ttPosition.top += 'px';
+            ttPosition.left += 'px';
+
             // Now set the calculated positioning.
             tooltip.css( ttPosition );