Can I use time capsule for iTunes and iPhoto libraries

I have a macbook and macbook pro which are both used independently. I would like to use a time capsule to store files and iTunes and iPhoto libraries. What I am looking to achieve is to be able to stream wirelessly my files between either of the computers and access iTunes and iPhoto from either machine. The majority of hard drive space would then be freed up on both machines and for no loss of service. I would think that playlists and albums would be unaffected by this change. Any advice would be gratefully received. Many thanks

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