Invisibility is not only possible, it exists in nature. Members of the Octopodidae family are able to change the color and texture of their skin to match their environments.
There are actually certain species of octopus who can be harvested to produce OLEDs, a flexible paper-thin screen. Obviously the cost of the screen and the need to harvest invertabrates makes it unmarketable, but it proves that it is possible to make a color changing surface that can render something invisible if the right image is projected onto it.
edit// and don't tell me you haven't heard of the jedi mind trick ;P
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