I have a 95 318ti...and recently i have a warning light come up that i do not know.
Its a red open circle wit 4 small red squares on both side.

what does it mean????

I can't be sure since your car is different from my son's 96 318i, but it sounds like the airbag warning light. His is a simple round light, but sure sounds like it to me. If so you either have to take to a dealer for diagnostic check and code reset, or, you might try what we did and but a tester/reset unit for apx. $120 and test it yourself. We are finding that this light goes off when other work is done on the car, or even a change in the weather as there are various sensors throughout the car including the seats, belts etc. that can cause an occasional glitch that can be reset but dealer prices vary greatly. However, you must take care to read the codes and see if this is the case or something more serious that has to be fixed. Do some further reaserch on this, I might be wrong on your light, but this requires action now. If money not a problem get it to the dealer. Call ahead and maybe they can tell you for sure what it is as far as the light is concerned.