I'm just going to say what I think.. and why..
1.2
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I don't much use 1.2 melee unless I want some nice eye candy. For example, if I'm in the mood to play like the DBZ show is, I'll message one of my close online friends and just fool around with combos, but it's ridiculously easy to dodge. The throwing is fun, but It does get annoying, but I don't complain. (accept for now)
1.1
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To me, this is the meat and potatoes of the game. It requires true skill to use this - Especially if the other person is as good as you are - and people complain when I'm pwning them "Stop being ***" or "stop pushing me around and play the game properly" i'm just like :S wtf lol. If you master 1.1 melee, you can own anyone, but they just keep on complaining.
My prefered melee is 1.1, for the skill part, and 1.2 for eye candy and to have a little bit of fun :]