I've read through the replies to this 11 years old question and I'll chime in with my two cents . . .
I've always assumed Indio said what he said as to indicate the accuracy of the shooting was the tip-off. As if to say "no one who shoots that good would join my rabble -- they'd be doing their own thing, therefore, you're here for you, not us, therefore you're probably a bounty hunter." Some have suggested that it was because he didn't kill the people in front of him. That's a very good suggestion. Although, hasn't Monco (Clint's character) already robbed a bank for him (at least he is supposed to have had robbed a bank) which would involve killing (potentially), given that he escaped with a neck wound? So not shooting the 3 standing before him wouldn't appear to be an issue. If showing off his shooting prowess was enough to scare off the 3, that's preferable to actually taking a chance getting shot at. Having said that, I still like that idea, and perhaps that's the correct answer. But I'll add another consideration . . . .
Indio later admitted that he knew Monco and Mortimer were bounty hunters from the beginning -- and I believe he did. But saying that "you shouldn't have shot the apples off that tree" sells the idea to his men that he had just figured it out. So no matter how his men interpreted it -- whether it was because of the shooting accuracy or the fact that Monco didn't kill those men -- didn't matter. Indio had a plan worked out and that was the right time to let his men know that the two in question were bounty hunters.
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