Help on sword mechanic

I am making a game kinda about ninjas, so I would like to add a nice new sword mechanic, I first tought of slashing with mouse and also rotating it, something like if pressing the right mouse button I would rotate it, if pressing the left one, I would move it, but this will maybe be too weird, I also thought of metal gear rising, anyway I can’t figure out a good way to script a good rotation system with the mouse. So here is what I need to make:

1 - Figure out how the mechanic would work like, the way that we interact with it, (the gameplay)

2 - Get it working

So, if you have an idea for how the sword movement and gameplay could be like comment it please, if you want you can create a script, but I would like to see the ideas first and then I would try to create it, if I see I can’t I would ask you guys some help. I don’t know if this is in the right section :/, yeah… anyway, thanks in advance

Edit: Just came up to my head that what I wanted in the beginning was basically surgeon simulator 2013 but with a katana, but that’s kinda hard to move, I would need to make it easier

Ok so I figured out a way to do it, the player will only be able to move the katana and then the rotation will basically be because of sway, so i need to make the blade point where the sword is going to, and I have no idea how to do that, anyway, here’s a video of an example of sway: http://www.youtube.com/watch?v=BY_2ZFvoOYA, now in this video we see the hands rotating in a nice way when he moves the gun, if he had a katana he would move the katana in a way that would make it slice, but that’s only for the sides, I also need like a if the movement is in a diagonal right-up or left-down or right-down or left-up he would also point the blade in the direction where the sword is going.