Maxxheadroom:
Perhaps a video will clarify what I am experiencing, this sure looks like bouncing to me, admittedly however I would consider myself still rather green in the world of Arduino.
That doesn't look like a 'bouncing' issue. Bouncing would be associated with getting more trigger pulses than desired. This issue here looks like it's just missing trigger pulses altogether when you're turning the shaft relatively quickly.
But better get things straight first ... what result is the readout supposed to be? Is it supposed to just count the number of pulses as you keep turning the shaft?
Also...should avoid statements like the following one ..... for good reasons.
Maxxheadroom:
becomes spastic and unstable.