Wood shades would look great or even the dark bamboo looking accordion blinds. If you aE going to do curtains I would hang the rod high and keep the curtains pulled closer to the left side of the wall. Great space! Good luck!!

Hang blind higher than window and pulled up until just covers the top. Then hang drapes for insulation.

Would you go with a white colored blind? I truly love the private look that I have an would not like to cover it. But I did thought to add blinds.

This is the other side if the living room.

Would you hang the curtain straight and high up? What color curtain would you use?

i used west elm curtain rods (inexpensive) and then had the drapes made at JC penney. we have cream accordion shades that we lower at night or when their is glare on the TV from sun coming in the windows. but the drapes never get closed - they are not even wide enough to close if we wanted to close them!

How much drama do you want? Using the scarf idea that you have and making it happen on both sides of the fireplace will add some elegance to the room. Use a white shimmering sheer and have it drop on both sides of each window. Since you have no issues with privacy keep the glass open and soak up the vitamin D

What about white bottom up blinds? And an inbetween curtain on top to finish the look?

Thank you all for your comments :)
To answer the question how much drama I like :) well I would say I don't like any drama I like it to be "soft" "elegant" "simple" I was planing to make the curtains by my self. So I don't know with what kind of marital to go with and what color and how to hand the curtains :(
I am defiantly going to add blinds not for privacy more for the days when it's very sunny :)
the curtains would be just a decoration thing :)
Thanks again :)
And Happy Thanksgiving :)

Hang not hand :)

I think the idea of a shade to function for privacy or cutting sun glare when you need it is great. A fabric roman shade or natural woven layered with decorative drapery is great. I don't think you have enough space for the stack of functional drapery compared to the amount of light it will make you lose, but I think that layered look will make a great dramatic look and I would have a rod with slim to no finials mounted at the ceiling.

Check this link ... http://www.enlightenedstyle.com/es-image-gallery/honeycomb-shades-gallery

Maybe match a gray from the fireplace surround and a cornice box at the top of the window that matches/compliments the mantle piece. Check www.budgetblinds.com for a local professional.