“You watch the hood, I will watch the skies” is a phrase with roots in army and police tradition. It is a manner of dividing up duties and obligations, with the particular person watching the hood (the bottom) being liable for close-range threats, whereas the particular person watching the skies is liable for long-range threats.
This phrase may be utilized to a wide range of conditions, each army and civilian. For instance, in a army context, it might be used to explain the division of labor between floor troops and air assist. In a civilian context, it might be used to explain the division of labor between a driver and a lookout, or between a safety guard and a surveillance digicam.