It's really weird. Whenever I am stealing someone's watch, everybody besides the person it's happening too realizes that it happens. One time I got the watch off and put it in my pocket. This girl from the audience screams out "Hey, he stole your watch!". I gave it back, made a joke, haha, we all laughed even though I kinda got caught, she was still impressed. As cool as that was I am still really annoyed that everybody sees what I'm doing. Is there some magical cure to this or do I need better misdirection, don't say more practice, I can get it off, it's just that people see me fiddling around with the watch. Any advice and comments are welcome. Thank you.

thats how its supposed to be, you can add a lot of humor because all others see it right?, I always show the watch behind the "victims" back, over the shoulder, at the same time I make a joke, the "victim" will think everybodys laughing at the joke, and then I give the watch back.

No, it's not. Not all watch steal routines come off like "Paper Balls Over the Head." Some do, but many do not. It depends on what you are trying to acheive.

If you want the rest of the audience to be just as amazed as the spectator whose watch you are satealing, you need to structure your routine to misdirect everyone, not just that one person.

In fact, the one surefire way to guarantee that no one yells, "Hey... he stole your watch" is to make sure that your routine is designed to misdirect all spectators away from the steal... and that you succeed at it.

So the answer to your question is both misdirection and practice.