My dog and the squirrel do this on a regular basis. There's a lot of staring at each other while Dixie whines and the squirrel chatters.
I really don't know what would happen if the squirrel came down the tree. The odds are Dixie would grab it and shake it like a rag doll. Then again, something tells me that they might be secret lovers, their embrace forbidden by the difference of their species.
They were both being still enough to actually be photographed today, so I snapped these two shots and stitched them together for Gizmodo's Shooting Challenge. This week's theme was Diptych. That's sort of a before and after, bookends type thing. Doubt I'll win, but hopefully I'll get posted in the gallery.