I think you can choose between Forms and WPF based on the application type. If you are doing a general consumer-targeted app where you want an extremely slick-looking end product, WPF would be a great choice. Especially if you can get design people to help create art assets using Expression Blend.
On the other hand, if you are doing an Windows desktop product that is more of a tool, more information based, Forms is a still a great choice. And there are many toolkits available to make your Windows Forms apps look great.
I definitely think WPF/Silverlight will be popular going forward and it is a good idea to starting working with it whenever you can.