So, I don’t entirely understand your mouse-click and character reference logic. I strongly recommend that you revert your Animation Blueprint Event Graph to match the default ThirdPersonTemplate one.
You will first need to right-click your animation and create a montage, setting it to the UpperBodySlot (create this in the tutorial a linked before). Now open your character blueprint, and add a PlayAnimMontage node to a new LeftMouseButton event.
Now change your Anim Graph to precisely match the one shown in the layered animation tutorial, and everything should work fine. I am curious, however, why you appear to be using the cursor position instead of the mouse button in your original blueprint.