It's cool that they saw tiny aliens inside. And the gloved hand is a nice touch.
Here's a page of interesting reports of tiny UFOs from all over the world, some of them quite similar to the report in your OP. For example:
John, Newark NJ
I was sleeping next to my girlfriend about 2 months ago. It must have been 4am. I awoke very quicky out of my sleep for an unknown reason. As soon as I looked up next to my window covered by a long red cloth blind, I saw a miniature ship. Must have been about 1 or 2 feet wide, and about 2 feet tall and it was a silver circled shape disc with a smaller circle for the cockpit or somthing with blue trimming and rainbow colored lights, about 8 of them blinking rainbow lights very fast. It seemed like as soon as it recognised that I had just opened my eyes it zoomed up in what it feels like 2 frames of a movie and quickly disappeared through my roof by the window. I was shocked but again like many people didn't even feel compelled to wake up panic and think about it, I just asked my girl did you see that. She said no and I peacefully passed out. It wasn't a light, it was an actual ship. A mini one in my house. It looked as if it was watching my girl sleep or it just felt that way beacause she sleeps by the window and that's where it made its quick exit.
You have to wonder how many such reports are strictly hypnagogic - as if that really explains anything anyway.
The most dangerous traps are the ones you set for yourself. - Phillip Marlowe