As promised, here's the full thread on a discussion I've had with a few of you. Xenoblade Chronicles 2 is a step up from "X" in a number of ways: lighting, texturing, and facial animations have all been improved. Those improvements also come with some serious DRAWBACKS. 

One of the largest pitfalls of XC2 is the fact that it features variable resolution that max's out at 720p, and (even at that resolution) has an overdose of anti-aliasing applied. These limitation combine to create an image that can only be described as "cloudy," if you'll excuse the pun. ;)

A contributor over at GameFAQs shared a "trick" that remedies at least part of XC2's visual woes. It worked well enough that I was inspired to create a video to spread the word.

Here's a link to the video: https://youtu.be/IWaORkp1t4Q

This "fix" has improved my own experience of playing XC2, and I hope that it's beneficial to everyone currently enjoying the game!

Any elaboration on how this "trick" works or do we have to click that link first?

Set the console's output res to 720p.
The video talks about this as a method of getting around the Switch's in-built image scaling.

I have yet to verify the claims.

Just tried this; it does indeed result in a sharper image.

So the Switch scaler is so horrible.... that its better to run it at 720p for this game, and let your TV handle it instead?

Wow...