The Question and Answer section for The Outsiders is a great resource to ask questions, find answers, and discuss the novel.
The title refers to people who do not fit into the mainstream of society. In this case the Greasers are sen as lower class and not a part of "respectable" society, they are "outsiders".
Pony is a romantic at heart. He loves getting swept away in the movies. Pony is also an intellectual. He enjoys interpreting characters and emotions. Pony can forget about his problems for a little while in the darkness of the theatre.
Pony is saying that he has academic intelligence but his street intelligence is lacking.