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    This is an example of how I use it, including the Inbox indicator when there is unread messages.
 <div id="user-bar"> 
<{if !$xoops_isuser}> 
              <div id="user-bar-login"> 
            <form method="post"  style="margin: 0px; "action="<{xoAppUrl /user.php op=login xoops_redirect=$smarty.server.REQUEST_URI}>" > 
                 
                <input name="uname" type="text"  size="16" value="username" onfocus="if(this.value==this.defaultValue)this.value='';" onblur="if(this.value=='')this.value=this.defaultValue;" /> <input name="pass" type="password" size="16" value="password" onfocus="if(this.value==this.defaultValue)this.value='';" onblur="if(this.value=='')this.value=this.defaultValue;" /> 
                <input  class="loginBut" type="submit"   value="ENTER"  alt="login"   />   
            form> 
                div> 
        <{else}> 
              <div id="user-bar-menu"> 
            <{xoInboxCount assign=pmcount}> 
<a href="<{xoAppUrl www/viewpmsg.php}>"> 
            <{if $pmcount}> 
                Inbox (<{$pmcount}>) |  
            <{else}> 
                Inbox 
            <{/if}>    a> |                  
            <a href="<{xoAppUrl /user.php}>">My profilea> |  
            <a href="<{xoAppUrl /notifications.php}>">Bookmarksa> |  
            <{if $xoops_isadmin}> 
            <a href="<{xoAppUrl /admin.php}>">Admina> |  
            <{/if}> 
            <a href="<{xoAppUrl /user.php op=logout}>">Logouta> 
            div> 
        <{/if}> 
                     
    div>  
where it says Inbox, you can close that in a span tag and add a class with the style you want to highlight it.
an example with icons instead is like this:
 <div class="userBar"> 
                <{if !$xoops_isuser}> 
            <form method="post"  style="margin: 0px; display:inline;"action="<{xoAppUrl /user.php op=login xoops_redirect=$smarty.server.REQUEST_URI}>" > 
                 
                <input name="uname" type="text"  size="16" value="<{$smarty.const._USERNAME}>" onfocus="if(this.value==this.defaultValue)this.value='';" onblur="if(this.value=='')this.value=this.defaultValue;" /> <input name="pass" type="text" size="16" value="<{$smarty.const._PASSWORD}>" onfocus="if(this.value==this.defaultValue)this.value='';" onblur="if(this.value=='')this.value=this.defaultValue;" /> 
                <input  class="loginBut" type="submit"   value="login"  alt="login"   />   
            form> 
            <a href="<{xoAppUrl /register.php}>" class="register">registera>   <a href="<{xoAppUrl /user.php#lost}>" class="register">| remember passworda> 
             
        <{else}> 
            <{xoInboxCount assign=pmcount}> 
            <a href="<{xoAppUrl www/viewpmsg.php}>"> 
            <{if $pmcount}> 
                <img src="<{xoImgUrl img/inbox-full.png}>" alt="Inbox (<{$pmcount}>)" title="You have <{$pmcount}> unread messages" /> 
            <{else}> 
                <img src="<{xoImgUrl img/inbox.png}>" alt="Inbox" title="Show your inbox content" /> 
            <{/if}>            a>                 
            <a href="<{xoAppUrl /user.php}>"><img src="<{xoImgUrl img/profile.png}>" alt="My profile" title="View your profile" />a> 
            <a href="<{xoAppUrl /notifications.php}>"><img src="<{xoImgUrl img/bookmarks.png}>" alt="Notifications" title="View bookmarks" />a> 
            <{if $xoops_isadmin}> 
            <a href="<{xoAppUrl /admin.php}>"><img src="<{xoImgUrl img/configuration.png}>" alt="Admin" title="Display site administration" />a> 
            <{/if}> 
            <a href="<{xoAppUrl /user.php op=logout}>"><img src="<{xoImgUrl img/logout.png}>" alt="Logout" title="Click to logout" />a> 
        <{/if}>div>