Effect:
Have a spectator write anything at all inside the psychic circle on a piece of paper. It can be a question, a name, a picture or anything else they would like. The Paper is then folded, ripped up and burned. You then tell them or recreate exactly what was written.

Solution:
Use a relatively small piece of paper. The kind from a small notebook used to write down orders is perfect. If that's not available, a piece of register paper is fine. (larger paper is used in the illustrations for the sake of clarity) Draw a circle in the middle of the paper and hand it to the spectator. Ask them to write inside the circle.

After they're done writing, ask them to fold the paper in half and then in half again. Take the piece of paper in your left hand with the folded corner facing left. In the illustration, corner "A" marks the center of the paper.

The circle and the writing will be around corner "A". Tear the paper in half from the top down. Put the two halves together keeping corner "A" facing you.

Turn the paper so that the length is parallel to the floor and tear it in half again. Place the two halves together again making sure that corner "A" is still on top facing you.

Use your left thumb to slide the piece of corner "A" into your left palm and hide it there.

Tear the other pieces in half again and give them to your spectator. Ask that he burn them in an ashtray.

While he's busy lighting the paper you can drop your hand behind the bar and open up corner "A".

The rest is theatrics. Pretend to read the smoke, gaze into the spectators eyes, ask a lemon, do anything. Just make it entertaining.