Story about Indigo Children on ABC News
After reading this and tolerating as much of the vedio as I could stand, 3 minutes of a 6 minute video, this is what I think.
If a person who was autistic as a child becomes milder as a teen/adult, and develops empathy (the ability to sense others emotions mostly via unconscious instinct)…they may misinterpret there newly developed "normal" empathic skill as a psychic phenomenon.
For example, if a person is cured of blindness would they recognise colours, shapes, people and plants? No they would not. Oliver Sacks wrote a interesting book called "The Man Who Mistook His Wife for a Hat". It was about a blind middle aged man who was operated on to "cure" his blindness.
After his operation he thanked his doctor, who kindly pointed out he was talking to an office plant. The formally blind man could see but could not understand what he was seeing. He was shown a picture of his wife, he thought she was a Hat. He was not really blind but he could not see either.
In other words, how do we recognise a new experience for the very first time. My answer is that we don't, we learn to understand. This usually happened very early in childhood when the brain is developing, we have no memories of getting things totally wrong. So developing empathy late in life could lead to a person believing, wrongly, that they are psychic. Especially, if their parents are hippies and they are into that sort of thing.