Nice work! Looking forward to release.
Real-time anime-style graphics in UE would be awesome and is certainly possible.
My two favourites are:
Ni no Kuni - Wikipedia, http://www.youtube.com/watch?v=biwIz8-EcSU
Guilty Gear Xrd - Wikipedia, http://www.youtube.com/watch?v=r_xYdKaIyNM
Guilty Gear Xrd is probably state of the art when it comes to real-time anime-style graphics and it was actually built in UE3.
If you or anyone else is interested in trying to achieve a similar style to Guilty Gear Xrd, I’d highly recommend reading the following forum post which contains a ton of technical information:
http://www.polycount.com/forum/showthread.php?t=121144