Miyamoto says that this game will be the turning point in Zelda's history and though I don't know about that, what he had to show was definitely attention grabbing.
You use the Wiimote as your sword and the nun-chuck as your shield. You hold the sword straight up to charge and slash to fire sword beams. Miyamoto wanted to make the game as simple and natural as possible.
To aim your slingshot and bow you just move the Wiimote around - no need to point it at the screen. To fire the bow you just pull back the nun-chuck and release to fire.
You can throw and roll bombs with the Wiimote with a overhand swipe and and underhand roll respectively.
There is more expansive scenery and it looks great.
The new beetle flies around using your remote to guide it. It picks up items and can also be used to place bombs where Link can't get.
The last new item is the whip and can be used to cut grass and grab items with the flick of your wrist. It always works exceptionally well at taking out a lot of bats at once.
It looks fantastic but we have to wait until 2011 to see just how good it will be.