OK.. Update....
Yes I clean my watch...
I pretty much wear it full time 5 days per week and sporadically on the weekend.. So my skin did get some good breaks.
The rash/burn/irritation took 3 1/2 weeks to heal properly, however after 6 weeks since I notified Apple of the issue there is still a shadow on my skin where it was.
I have worn all types of jewellery and materials on my skin for over 40 years and never have I had a problem. Before the Apple Watch I was wearing a Citizen watch.
The rash/burn/irritation was from the "composite back" or the LED sensors, or a combination of both - I believe. There was no indication it was from the band or the aluminium. The aluminium was never in direct contact with my skin.
Yes it did take about 8 weeks or so for the rash/burn/irritation to come up.
I am still waiting on a resolution from Apple. The watch was sent to the 2 weeks ago - after stuffing around with lack of return instructions, I dropped in to my local Apple Store and had them return it. I have been without the use of the watch for about 5-6 weeks and I am getting frustrated. It is a lot of money to spend to not get the use of it.
I probably won't buy the SS model, it is far too expensive for my pocket

I will however look into another fitness tracker (any suggestions?)
Will keep you all posted on Apple's response..