You can use that, you can use the thing you already have, its up to you. They both CAN work. With the CB switch you will only get 16 changes per full revolution. If this is enough then use it. It will prolly still have noisey output so de-bouncing will still be neccessary. Now if you can get this, I have used many, they work really well.

Let us know how you are getting along on this project. Have you blinked a LED on port A yet?