am i supposed to drain the tranny oil and the engine oil? and would it be easier to pull out with the tranny or unbolt it?

Personally, I drain the fluids. Since you need to pull out the axles to take out the transmission, you need to drain its fluid (unless you want a mess). If you have some good help, and don't have a hoist or something, you can tilt the engine (tranny side down) and slowly bring it up to pull it out without hitting something with the trans.