It has been a very productive week so far, struggled trying to make a XNA window fit a windows form, so far I have been unsuccessfull to accomplish that task so I had to load demo window and base on it remove all the unnecessary code and work on the cut scene/background editor, spent 3 days trying to fit the XNA window but after that took me like 3 more days to finish the skeleton and player of my animations, for just a week of work I think the output is pretty decent. Stll no timeline editor like any video editor since I couldn't find any free control for that yet, don't want to waste too much time developing it now. Here is an screenshot of the WIP editor.
Hope this will accelerate the animation process of the cut scenes and sprites in the game. Maybe will post a video of it running XNA animations in realtime while editing, it imports different spritesheets, same as the ones used for the game so I don't have a double work to do, just use the in game player of the editor saving a lot of space and time. Still need to add the audio track so the editor can be used for any other project in the future as well include effects like bloom, motion blur , etc... but that is planned for another game.