Complex sentence: Noodles later finds Max as he is moving into his new house, and the two are sizing each other up, Max flaunts the pocket watch he stole from the drunk--which Noodles then steals from him.
Split into simpler sentences: Noodles later finds Max as he is moving into his new house. Max and Noodles size each other up and Max flaunts the pocket watch he stole from the drunk--which Noodles then steals from him.