Its an unfinished game, why would you care?
Because that doesn't guarentee that everything that could benefit from improvement will get better before release. Especially if no one points out the fact that that it could do with improvement.
Aside from the water, though, the trailer was pretty impressive. In the end, just looking at screenshots simply isn't the same as seeing the game in motion. And if the finished game looks like this, I think I'll be pretty satisfied with the final product in the realm of visuals, so long as Bethesda improves the water. Honestly, what I could see looks like a downgrade over Oblivion. Sure, they might be able to simulate flowing water now, but if the water looks like crap both when flowing and not flowing, than I'd say it's not worth it.
Beyond that, though, the trailer was nice, even if there were some things I'd have liked to see that weren't in it (Like say, Khajiit and Argonians.) it definately makes me excited for the game. I was a little worried when I saw the bits of the teaser trailer spliced in that we weren't going to see much actual game footage, but it seems that the trailer actually manages to show a surprisingly large amount of things. One thing that really caught my attention was that in one part showing what looked like a city at night, the windows seemed to be glowing. Looks like Bethesda has finally done the logical thing modders have done since Morrowind and made windows no longer completely dark at night.
And the dragon fight was nice too, I especially liked the part where the dragon was chasing the character through the woods. If we can get things like that during normal gameplay, it could lead to some pretty intense moments. The bit where the dragon's shadow fell across the player was nice too. When you want to make a large flyer descending upon a character look menacing, I'd say that's a good way to do it.
The combat animations also seem much better, in the hub update on Skyrim's combat system, i recall talk about Bethesda trying to capture the brutality of combat, and going by the trailer, Skyrim certainly seems to do that a lot better than it's predeccesors.
Seriously, the complaints about the water and dragon textures are just plain ridiculous. Both look excellent.
The dragon textures didn't really bother me, but I can't agree on the water looking "excellent", I've seen a lot better in other games, but that's not the problem, when it manages to somehow look worse than the game's predecessor that's already several years old, though, we have a problem.
The trailer was AMAZING. Read comments anywhere off of this particular forum and you will see that is the OFFICIAL consensus.
Just because the trailer was as a whole amazing doesn't mean one can't still find some things, even if only minor, that should have been better, and I fail to see why the fact that the general consensus is that the trailer is amazing should mean that if we feel that some things could be improved, we should not say so.