I agree with the following comments:
One improvement that I could see is maybe moving the slider bar to the top, as currently it obstructs the reflection. On the picky side the images themselves don't "pinch" in on the short side, instead just are shortened and clipped by the mask, although I imagine it's more difficult to scale only one side of an image.
I have started to do this myself ( with this app ), but I do like the "Windows 7" app movement. I would definitely be interested to see if you can make the above tweaks and post the code.