Could anyone provide me some tips on water animation, I want to have sea waves using Tiled map editor, is that possible?
You can animate tiles in Tiled, but you first need to draw the frames.
With a quick search I found this tutorial and the following video, but just search yourself for additional resources.
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Thanks for your previous response. I have been toying around with water animation and they do not look good 
I would like to use existing tilesets from places like openart, I am not an artist so do not want to create texture myself and not that good at it.
Can you please recommend me an easy way to use water animation using for example 
Yea (pixel)art is not something you can just learn in a day or two 
The example you have could work well for water. To turn it into an animation you can try this document.
Try playing with the duration to get a smooth animation. The best way for water seems to be to have the duration for each tile at the same value.
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I agree, Pixel art expertise is a whole different ball game I think.
With the help of a corona expert I was able to do some water animation using lua code, not using the Tiled animation panel. The issue was for Tiled animation panel to be used, the water object needs to be exactly the size of the level area where I want to place the water. If the object is stretched water animation looks poor, so I had to do it from code, where it fills the area and keeps track of the other frame animations and does transitions with time.