A high resolution digital rod position indication (high resolution DRPI) system having improved resolution. The high resolution DRPI system monitors the rod control cluster and provides an indication of the rod position with precision to a single step. In addition, the high resolution DRPI system is capable of producing a rod position output compatible with existing rod control systems. The improved resolution of the high resolution DRPI system allows the actual position of the control rods to be continuously monitored and eliminates the need for or reduces the frequency of offline re-initialization of the step counters.