The sight glass is on top of the drier/receiver. For older systems using R12 refrigerant, you could tell if the system was low on refrigerant by looking through the sight glass. Basically if the refrigerant was sufficient, the sight glass would be clear without foaming or bubbles.
However ever since car manufacturers switched to R134a, the sight glass has lost its use. Because R134a behaves differently from R12. so even if you see foaming in the sight glass it does not mean refrigerant is low.