I've had a similar problem and it's important to remember that
if you create a new project from the "Retro style template" all objects will always become pixelated when rotating.
If your window size is too low this can cause some pixelated effects in your game.
When creating any other style of project click "Project Properties" on your left.
This should bring up a list of options for you.
The window size can be changed here if you want to zoom out away from your creation and therefore reduce the pixelated effect.
You may also consider turning off point sampling in that same list, but this might just make everything look blurry if you have low-res sprites and whatnot.