When working with inequalities you have to remember that:
The symbol "<" indicates that the number on the left is smaller than the number on the right, then, for example:
This indicates that 85 is less than 90.
The symbol ">" indicates that the number of the left is greater than the number on the right, for example:
This indicates that 70 is greater than 54.
Now for the given statement:
"The sign points at the smaller number"
The expression indicates that 2 is less than 100, so the statement is true.