New approach to Rotary Encoder

[fratello]

It a real pleasure to see how generous some people can be ... Thank You, AGAIN, Mr. Henrik !
...I think I missing something ... If UP do something, If Down do something else...dont ?!
But nothing happens.

'****************************************************************
 @ DEVICE pic16F628A, XT_OSC, WDT_OFF, PWRT_ON, BOD_OFF, MCLR_ON, LVP_OFF

   Define   OSC 4           ' 4MHz 
   CMCON = 7                ' Disable on-chip comparator, PORTA in digital mode

include "alldigital.pbp"

TrisA = 000000
PortB = 010000
TrisB = 000000

oldState VAR BYTE
newState VAR BYTE
Q_Count VAR WORD
DIR VAR BIT

UP CON 1
DN CON 0


Main_Loop:  
newState = (PortB & 100000)    
goto encoder
if dir = up then portb.0 = 1                           
if dir = dn then portb.1 = 1 
goto Main_Loop 
goto encoder
if dir = up then 
portb.4 = 1
portb.0 = 1
endif                           
if dir = dn then 
portb.4 = 0
portb.1 = 1
endif
goto Main_Loop


encoder:

If newState <> 0 THEN
If newState <> oldState THEN        ' Changed from last time?

  Select Case oldState
    Case 32
    If NewState = 128 THEN          ' Was 1 now 4 = Up
      Q_Count = Q_Count + 1
      DIR = UP
    ELSE                          ' Was 1 now 2 = Down
      Q_Count = Q_Count - 1
      DIR = DN
    ENDIF

  
    Case 64
    If NewState = 32 THEN        ' Was 2 now 1 = Up
      Q_Count = Q_Count + 1
      DIR = UP
    ELSE                           ' Was 2 now 4 = Down
      Q_Count = Q_Count - 1
      DIR = DN
    ENDIF

  
    Case 128
    If NewState = 64 THEN        ' Was 4 now 2 = Up
      Q_Count = Q_Count + 1
      DIR = UP
    ELSE                       ' Was 4 now 1 = Down
      Q_Count = Q_Count - 1
      DIR = DN
    ENDIF

  END SELECT

  oldState = NewState 

ENDIF
ENDIF

Or I wired the roller wrong ?
Here ( http://www.angelfire.com/nd/maza/kenwood.html ) it's a working variant, but in other "way" , using Atmega ...