Points out nose (5)
I believe the answer is:
snout
'nose' is the definition.
(I know that snout is a type of nose)
'points out' is the wordplay.
'points' becomes 'sn' (two compass points).
'sn'+'out'='SNOUT'
(Other definitions for snout that I've seen before include "Nose, tobacco (colloq.)" , "Porker's hooter?" , "Tobacco -- hooter" , "Muzzle; Wall (MND)" , "Pig's nose" .)